Why are so many people buying property in place's that are constantly being whiped out by Mother Nature?It just look's crazy.Is it an insurance ploy?Money is being made,somehow. wat's going on?
2006-06-16 07:10:48 · 6 answers · asked by Wishee 4 in Business & Finance ➔ Renting & Real Estate
Us, the taxpayers have to pay for a lot of it, why wouldn't they keep buying if we keep paying.
2006-06-16 07:14:47 · answer #1 · answered by Iron Rider 6 · 1⤊ 0⤋
Insurance is really what is keeping these places alive. I am in the insurance / mortgage business and I see the same areas hit year after year.
If your home is a total loss it is best to use the insurance proceeds to rebuild rather than just pay off the loan so you don't lose your equity. A brand new home hits the market and the next person buys it and the cycle starts all over again.
2006-06-21 19:18:03 · answer #2 · answered by Anonymous · 0⤊ 0⤋
People are gambling that future hurricanes will not be as devastating as the 2005 bunch. In the gulf region, A lot of property was snapped up at reduced prices by those trying to make a quick buck. The people I feel for are those affected by the destruction of the hurricanes who still live in the region, those who love that part of the world and don't want to live anywhere else. I believe that many of those victims, who truly love that area and can afford to rebuild, will do so.
2006-06-16 07:20:49 · answer #3 · answered by Jack Nicholson 5 · 0⤊ 0⤋
Coastal areas are beautiful and water always attracts people. There is not one area in the country that we can say will absolutely be hit by a eye of a hurricane. Insurance is a gamble you put your money in pretty much betting against the insurance company and of course the insurance company( the house) always wins because they get way more in premiums than they pay out in claims
2006-06-17 01:22:36 · answer #4 · answered by kcbrown1979 3 · 0⤊ 0⤋
You could ask the same question to people who build next to rivers or to earthquake fault lines or active volcanoes or ....... the list goes on.
Nobody believes that THEY will be the ones affected. I think you should be able to live anywhere you choose as long as you pay your own insurance.
2006-06-16 07:15:44 · answer #5 · answered by lunatic 7 · 0⤊ 0⤋
even if property s destroyed insurance covers it, so who care ! when u can make money in real-estate
2006-06-16 07:14:36 · answer #6 · answered by Niki 2 · 0⤊ 0⤋