Such realities are creating new costs for waterfront cities. Miami, as one example, is spending $400 million to develop a pumping system. New York City estimates that 800,000 people will be living in 100- year flood zones by 2050, double the number today. It’s spending almost $20 billion to erect a levee system to protect lower Manhattan. Not to be outdone, it’s now estimated that California faces $50 billion in flood control bills. The city admits that its plan will not make New York “climate-change proof,” however the hope is that it will reduce future losses. “Lives will be saved and many catastrophic losses avoided,” according to a 2013 report produced by New York City. “For example, while Sandy caused about $19 billion in losses for our city, rising sea levels and ocean temperatures mean that by the 2050s, a storm like Sandy could cause an
estimated $90 billion in losses (in current dollars) – almost five times as much.”
in home sales activity in 2016, it’s evident from this data that natural hazard risk does make a difference to homebuyers and investors who are active in this housing market,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. ATTOM reports that home sales in counties with high levels of exposure to natural hazards saw home sales rise 1.9 percent in 2016 versus 4.6 percent in counties with less risk. Weakness in sales volume is even more apparent in counties with a high risk index for flooding — meaning a high percentage of homes in high risk flood zones requiring flood insurance — according to the ATTOM report. Home sales volume in counties with a “Very High” flood risk was down 3 percent in 2016 compared to the previous year
It’s not just New York and Miami.
“Federal scientists have documented a sharp jump in this nuisance flooding — often called ‘sunny-day flooding’ — along both the East Coast and the Gulf Coast in recent years,” according to an article in the The New York Times. “The sea is now so near the brim in many places that they believe the problem is likely to worsen quickly. Shifts in the Pacific Ocean mean that the West Coast, partly spared over the past two decades, may be hit hard, too.”
There is evidence that the market already sees dangers by the shore.
“While price and affordability along with access to jobs are the primary drivers in local markets with strong increases
VERY HIGH FLOOD RISK COUNTIES
VERY LOW FLOOD RISK COUNTIES
ATTOM Data Solutions • P7
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