Flood Insurance Home Loans High Prone and Frequent Flood Prone Areas IOH 1. Leghorn St. 2. Jacquelyn Dr. at LaRoche Ave. 3. Garland Dr. 4. Area Around Ferguson Ave 5. Aquatic Center Parking Lot (Continued from pg. 7) flood zone they are located in — and it is mandatory for all properties located in a Special Flood Hazard Area (“SFHA”) if they use federally insured financing. FEMA’s Flood Insurance Rate Maps FEMA has used flood hazard data to identify flood risk zones and create official Flood Insurance Rate Maps (“FIRMs”). • Participating communities use this flood mapping program to enforce floodplain management regulations. • Insurers use it to determine full-risk policy premium rates. • Federally regulated or insured lenders and federal agencies use it to determine when flood insurance is required to receive a loan or financial assistance. The Bottom Line To navigate flood map changes successfully and cost-effectively, Savannah homeowners need to keep up with modifications. They also need to work with a realtor wellversed in the details of flood insurance. When all is said and done, the cost of flood insurance can add to or take away from your purchasing power, so you should carefully evaluate it when buying a home. If you want to find out if your flood zone has changed the first thing you should do is contact your flood insurance provider. If you don't have one, give me a call at 912-844-9000 or email me edyannett@ kw.com. I can help you figure out any changes to your property and put you in touch with some of the flood insurance agents I work with. Ed Yannett is a Real Estate Agent with Keller Williams Coastal Area Partners. You can reach him at 912844-9000 or edyannett@ kw.com. (Continued from page 9) If you have the same scenario, but the flood insurance is $1,200 a year ($100 a month), on average, that is $14,000 - $20,000 more that you could finance for the same monthly payment. Flood insurance also affects your cash at closing. If the home is in a required flood zone, you must have the flood insurance escrowed, even if you opt out of having property taxes and/ or homeowner’s insurance escrowed. Flood insurance is still required to be escrowed and paid in full for one year before closing. Therefore, if your flood policy is $1,200 a year, you will be bringing about $1,400 more to closing. The good news is, the new flood maps will improve most of our flood premiums! This, in turn, will make more of our coastal homes more affordable and desirable. Please feel free to contact me with any and all of your mortgage questions and needs. Kelley Sullivan is a Senior Mortgage Banker at BankSouth Mortgage. You can reach her at 912844-2593 or ksullivan@ banksouth.com. 10
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