New York City, NY · Member since 2014 · 16 posts · 4 votes
Hi, I'm new to REI, and I'm wondering if investors tend to stay away from disaster prone areas, hurricanes, tornado zones, etc. Are the insurance rates outrageous in these areas? Do added stress and extra repairs make it not worth the time and money? Any feedback you could give would be great! I'm in the stage of choosing a market a market. My local market isn't feasible for me, so I'm interested in turnkey properties out of state for long term buy and hold. Thanks so much for your help!
Real Estate Investor · Kirkland, WA · Member since 2012 · 480 posts · 116 votes
12y
Other things to consider, besides hurricanes and tornadoes, would be places with extreme weather conditons - cold winters and hot summers. I imagine maintenance costs would be higher - shorter roof, exterior paint life, etc.
Investor · Clairemont, CA · Member since 2011 · 3k+ posts · 2k+ votes
12y
Personally no, I invest in FL the possible extra insurance costs are just a part of my cash flow analysis.
I think you'll find that there is no such thing as a disaster free area.
NE- Ice storms, flooding and as we saw recently hurricanes.
SE- Hurricanes, hail, wind
Midwest-Hail, tornado, flood
SW- Floods, earthquake
NW- Ice, snow, earthquake
Obviously those all can happen in any of the other areas those are just kind of the off the top of my head disasters I would think of for each of those areas.