Tag: florida

Florida: Living Perilously on the Front Line of Climate Change and Sea Level Rise

As a resident of South Florida, I’ve witnessed firsthand for years the impact of climate change and sea level rise on people and property. Most coastal communities here are already experiencing beach erosion and pockets of street and property flooding that are only getting worse as sea level rises.

In addition to beach erosion and sea level rise flooding, many cities and towns throughout Florida have also been hit by hurricanes supercharged by global warming that have caused tens of billions of dollars in damages. Here, too, sea level rise plays a role as higher seas mean stronger and more damaging storm surges.

Hurricane Ian is the latest super-charged storm to bring death and destruction to the Sunshine State. Sadly, more than 100 lives were lost to the storm in Southwest Florida. And the latest estimates are that it will take $75-100 billion to rebuild the homes, businesses and infrastructure destroyed by the mega-storm.

In addition to destroying many lives and billions of dollars in property, Hurricane Ian also rolled over Florida’s already wrecked property insurance market. Before the storm, fraud — mainly involving roofers replacing roofs before its necessary and billing insurance companies for the work — and costly storms created a marketplace where Floridians pay three times the national average for homeowners insurance. The losses have been so bad that many insurers have already fled the state or gone out of business, leaving Citizens Insurance, the state-run insurer of last resort for homeowners who can’t get policies elsewhere, to pick up the slack. Citizens now has more than one million policies, and there’s no sign the explosive growth will slow anytime soon. If anything, Hurricane Ian is going to force more private insurers out of business forcing tens of thousands more homeowners onto Citizens’ rolls.

Further complicating the insurance problem is the fact that only around 20% of Floridian homeowners carry flood insurance because they can’t afford it or they underestimate the threat. This is especially tragic considering that Hurricane Ian caused serious flood damage not only to coastal communities but well inland in counties where people never guessed they’d get hit by high water.

Earlier this year, the Florida state legislature held a special session to consider ways to alleviate the high cost of homeowners insurance, but left without anything to show for the effort. The questions at this point are: 1. Why doesn’t anyone know what to do to fix Florida’s insurance problem? and 2. Is it possible that there isn’t any way to address it?

The first question needs to be posed to political leaders, insurers, and business and consumer groups. Together, perhaps, they can figure out how to crack down on roof repair fraud and find a mechanism to subsidize the cost of insurance for owners who can’t afford it.

The second question may make the first question moot. It’s clear that climate change and sea level rise are going to get worse for decades to come. This is mainly due to the fact that humans aren’t reducing the amount of fossil fuels — oil, coal and natural gas — we burn, which is releasing record amounts of greenhouse gases into the atmosphere. Basic science says more carbon dioxide and methane mean more global warming, sea level rise and ever more powerful hurricanes, tropical storms and downpours.

The end result is that even if fraud is eliminated as a problem for Florida insurers, sea level rise flooding, mega-charged hurricanes with damaging storm surge that reaches further inland, and flooding from rainstorms is going to continue to increase as a challenge to coastal communities. As Hurricane Ian proved, even communities well inland can be hit by devastating floods from heavy rains.

If that’s not enough, sea level rise is pushing ocean water inland underground in areas that have porous limestone, sand, and even lava, as its foundation rock, which pushes the freshwater table up toward the surface where it has the potential to promote flooding well inland. This scenario is already being realized in some neighborhoods in South Florida and Hawaii.

The ultimate danger of a collapse of the home insurance market is not only that owners won’t be covered for their losses but mortgage providers won’t want to share the risk on uninsured properties and they will no longer provide loans. This will lock up a real estate market and cause a collapse in market value.

In Florida, homeowners of modest means are already going without insurance because the cost is too high. And some are considering selling their properties here because they can’t afford the carrying costs.

Florida is seriously at the front line of the climate change and sea level rise battle. Homeowners in other states watching what happens in the insurance market here should pay heed. The Sunshine State experience is likely portends their future and it’s anything but bright.

Hurricane Ian Exposing Real Estate Prone to Sea Level Rise Flooding

As Hurricane Ian churns toward Florida today, it’s sending rain bands into the southern half of the peninsula. Driving in South Florida where I live, I saw several streets and intersections near the Intracoastal Waterway that don’t normally flood during heavy rainstorms filled with a foot or more of water. Real estate was also being impacted. While the rain is certainly contributing to the flooding, the real culprit is king tides — extra high tides due to the alignment of the sun and moon — combined with sea level rise.

Unfortunately, the storm is striking at the height of a week of higher than normal tides that peaks on Thursday. If today is any indication, the flooding is going to not only flood roads, it’s going to flood yards and homes in the days to come.

Each neighborhood I visited was flooding because of saltwater topping seawalls, emerging out of storm grates, or because pump systems couldn’t keep up. Sadly, I also saw some residents awestruck that their neighborhoods were flooding, even though some of them have been flooding for years. My best guess is that they purchased the properties without being aware of the flooding risk.

Another point to ponder is that many people who bought a property that itself isn’t flooding are discovering that owning real estate that you can’t reach because of sea level rise flooding is a major management issue and a pain in the neck. It’s also disconcerting because unless the flooding is prevented — through the use of elevated seawalls, elevated roads or pumps — sea level rise will eventually cause the flooding to swamp yards and homes.

What I witnessed today in my town is certainly occurring in many other coastal communities this week. It’s a powerful reminder that owners in coastal communities need to start considering sea level rise in their plans, and buyers need to perform due diligence to make sure that their property of interest, streets and neighborhood aren’t currently flooding or likely to flood in the future hurricane or no hurricane.

Video: King Tide Sea Level Rise Flooding Season Kicks Off Along the US Coastline

Aaaaaaand, here we go again. King tide sea level rise flooding season kicked off this week in the historic Marina District in Delray Beach, Florida. Every fall, the sun and moon align in a way that creates extra high tides over and over again.

Coastal communities all over the US are experiencing similar sunny day flooding that’s only getting worse due to sea level rise. Cities and towns are spending billions of dollars to hold back the water, which will ultimately be proven futile unless we cut back on burning the fossil fuels that are causing global warming.

This round of flooding, which peaks on Thursday, is bound to worsen the storm surge from Hurricane Ian. I really feel for the people who have to live like this. The salty water is murder on vehicles and property. Stay tuned.

Disturbing Developments in Greenland and Antarctica Could Accelerate Sea Level Rise Flooding and Impact Coastal Real Estate Markets

Last week, scientists reported that humans have already pumped enough greenhouse gases into the atmosphere to cause enough global warming to guarantee that Greenland alone will contribute up to a foot of sea level rise. This week, scientists added to the bad news by reporting that Antarctica’s so called “doomsday glacier” is melting rapidly from the bottom and its collapse could potentially add a devastating 10 feet to ocean levels. And, as if that wasn’t bad enough, this week researchers also observed a heat wave melting Greenland’s ice sheet at a rate more typical of mid-July than the beginning of September, which means even more water running off the land to the ocean where it contributes to sea level rise.

Unfortunately for people trying to decide whether or not a coastal community is a good place to invest in real estate based on past and present sea level rise flooding, the rapid changes in Antarctica and Greenland could be sudden and decisive game changers. If ice sheets in Greenland or Antarctica continue to rapidly destabilize, events that cause sudden increases in sea level rise could become the new normal, just as we’ve seen climate change drive an increase in the number of what used to be called 100-year flooding events due to excessive rain at locations around the globe.

As humans continue to burn fossil fuels that pump massive amounts of greenhouse gases into the atmosphere, we’re sure to see upward revisions in the pace and height of sea level rise. This makes it very difficult for buyers who want to purchase a property using a 30-year mortgage in areas currently experiencing sea level rise flooding or that are at risk of flooding in the decades to come to make informed decisions. It also makes it difficult for current owners to decide whether or not they should continue to hold a property in an at-risk area.

Further compounding the risk for buyers and owners of real estate in coastal communities is the reality that scientists aren’t the only ones monitoring the factors that can speed up sea level rise. Insurers and mortgage providers who share the risk with buyers and owners are also keeping a keen eye on the latest developments and acting accordingly. Private insurers are abandoning some markets where sea level rise-intensified storm surge flooding poses too great a risk. And mortgage providers that have to peer thirty years in the future to see if they’re going to make a profit on a loan are being ever more careful in the loan approval process.

If insurers and/or mortgage providers decide that doing business in at-risk coastal communities isn’t worth it, this could throw local real estate markets into turmoil. The risk isn’t just theoretical. Florida, for example, considered the most at-risk state for sea level rise-intensified storm surge and so-called sea level rise nuisance flooding, is already seeing property insurers pull out of the market in part because they’re not solvent enough to assume the risk. This has left thousands of homeowners scrambling for new private insurance policies or turning to state-run Citizens Property Insurance, which was supposed to be the insurer of last resort. The state has been seeking solutions to the property insurance crisis that’s sure to worsen as sea level continues to rise.

Homeowners with federally backed mortgages are required to carry adequate property and flood insurance. If the insurance market collapses, most buyers will not be able to get loans. This in turn will cause properties to lose value.

Experts stress that there’s still time for humans to stop burning fossil fuels at a rate that contributes to global warming and sea level rise. There are steps being taken to rein it in, but whether effective action will be taken quickly enough to avert disaster in Greenland and Antarctica has yet to be seen. The ice sheets in both locations are definitely growing hazards that few people involved in coastal real estate can afford to ignore.

Florida’s New Condo Inspection Law Protects Real Estate Owners — at a Cost

Last year’s partial collapse of a condominium building in Surfside, Florida, that tragically killed 98 people, led to a call for stricter inspection regulations. Gov. Ron DeSantis responded recently by signing a law with much tighter inspection requirements.

Under the new state law, all residential building three stories or taller must undergo a detailed structural inspection after 30 years and then every 10 years after that. Buildings within three miles of the coast — where salty ocean water can be highly corrosive to structural components — face even tougher rules. They have to be inspected after 25 years and every seven years after that.

Whenever structural damage is found, buildings are required to undergo a more thorough secondary inspection. The results of the inspections have to be made available to unit owners and local government officials.

In addition to the inspection rules, the new law requires condominium associations to evaluate their reserve funds every 10 years to make sure they have enough cash to cover the cost of major repairs.

The new law, which is due to go into effect in January 2025, could lead to a substantial increase in condo fees and special assessments. Depending on the size of a building, professional engineering inspections can cost tens of thousands of dollars. And buildings that have not maintained sufficient reserves could face large special assessments to cover the cost of repairs identified by structural engineers and/or to bring underfunded reserves into compliance.

With sea level rise and stronger tropical storms adding stress to buildings located near the coast, real estate owners and buyers in Florida should be encouraged that the new law will improve safety and reduce the odds of another Surfside-like collapse. But, for budgeting purposes, they need to be aware of a building’s age, inspection status, potential repair issues, and reserves status. Condo board members, meeting minutes and financials should provide a clear picture of a building’s situation.

Other states may have inspection and reserves requirements similar to Florida’s that need to be considered when owners and buyers are involved in coastal real estate located within their borders.

Florida’s New Statewide Office of Resilience Gets Sea Level Rise Half Right

This week, Florida Gov. Ron DeSantis signed legislation to create a new Statewide Office of Resilience. The office is charged with creating an action plan to protect the state highway system from sea level rise flooding. It’s also responsible for creating a prioritize list of sites, such as medical centers, airports, utilities and emergency operation centers, that need to be hardened against rising seas.

The new law strengthens a 2021 law that required the state Department of Environmental Protection to develop a sea level rise resilience plan and a grant program to help cities and counties pay for infrastructure improvements.

While Florida officials should be applauded for taking the initiative and combatting the sea level rise that threatens coastal cities and towns, there’s a glaring omission. The law does nothing to reduce the burning of coal, oil and natural gas as well as agricultural sources of greenhouse gases that are driving global warming and sea level rise. This is kind of like working to put out a house fire without addressing the arsonist who’s flipping matches at it. This oversight will ultimately prove costly and disastrous for a low elevation state with coastal communities that are already flooding due to sea level rise and ever-stronger storm surges.

Florida’s half-way there on climate change and sea level rise. With billions of dollars worth of real estate under threat of inundation, let’s hope the state takes the next step and addresses what’s driving the problem.

Earth Day is a Call to Action!

Repeating “Happy Earth Day” to family and friends today isn’t enough. The holiday is, in fact, a call to action for us all to do what we can to save the planet from climate change and pollution.

For years, Earth has been flashing a RED ALERT about global warming. Oceans, the atmosphere and the land are heating up. As a result, we’re seeing mega-droughts, hotter and longer heat waves, fierce wildfires, stronger more damaging storms, rapid snow and ice melt in Antarctica and Greenland and sea level rise flooding.

To stop global warming, we need to curtail the burning of fossil fuels — coal, oil and natural gas — that release greenhouse gases. We can all play a role by conserving energy. Here’s how:

1. Drive only when necessary, consolidate trips and share the ride.

2. Purchase the most fuel efficient vehicles we can afford and ride public transportation when available.

3. Weather-proof our homes and offices.

4. Buy energy-efficient appliances.

5. Turn off lights and electronics that aren’t in use.

6. Buy only goods we actually need.

7. Eat a more plant-based diet.

8. Vote ONLY  for candidates who are dedicated to fighting climate change.

The last point is critically important. Leaders on the federal, state and local levels are setting the policies that will (or won’t) allow us to reduce and nearly eliminate the use of fossil fuels. We need strong, motivated leaders to get the job done.

Together, we can prevent the climate change catastrophe we’re headed for if we don’t act aggressively to combat it. The time to for us all to start is NOW!

Sea Level Rise Flooding Isn’t The Only Climate Change Symptom Vexing Coastal Real Estate

Climate change is posing many challenges to coastal communities. Sea level rise flooding is one of the more obvious symptoms of a warming planet. Other problems include longer, hotter heat waves and droughts. This time of year in South Florida, sargassum seaweed season begins and it can run sporadically right through the fall.

The smelly, scratchy seaweed washes ashore by the ton on hundreds of miles of beaches in South Florida, Mexico and throughout the Caribbean islands. The seaweed drives tourists away and could one day threaten local real estate markets when buyers get fed up.

Scientists say seaweed blooms in the Caribbean and off Brazil are getting worse every year due to global warming heating up the ocean and humans using too much fertilizer on farms and lawns. Runoff containing animal waste from large-scale farms is also a problem.

Coastal communities are employing a number of methods to combat the seaweed. Some plow it into the sand, others truck it away at great expense. Some communities are even exploring ways to harvest and process the seaweed before it ever reaches land.

The sargassum seaweed problem is expected to get worse until humans stop or at least cut back the use of greenhouse gas producing fossil fuels and get water pollution under control. Real estate buyers and owners in coastal communities need to keep an eye on the seaweed problem as it could one day impact the value of their properties.

Study: Will The Wealthy Displace Working Class Residents From Their Traditional Inland Neighborhoods When Sea Level Rise Floods Coastal Real Estate?

Sea level rise flooding, like all natural disasters, tends to harm the people who can least afford it the most. In many cases, low income residents tend to own coastal real estate that isn’t well-protected from rising seas and they may be forced by high costs to go without flood insurance. A new study released this week concluded that low income residents inland from the coast could also face extreme hardship as wealthier coastal real estate owners are forced to abandon their properties and move inland.

The study, titled “Addressing Climate Driven Displacement: Planning for Sea Level Rise In Florida’s Coastal Communities and Affordable Housing in Inland Communities in the Face of Climate Gentrification”, was produced by The Leroy Collins Institute at Florida State University. Researchers operated on the assumption that the day will arrive — likely toward the end of this century — when investing in expensive infrastructure — such as elevating properties and installing pumps — will no longer be enough to save sea level rise-inundated coastal properties. When this happens, they predict that higher income coastal residents will move inland to the higher elevation areas now inhabited by working class Floridians.

As they do this, lower income residents will “face increasing pressures to relocate, either voluntarily (eg. selling their homes and businesses) or involuntarily (eg. being evicted for redevelopment projects or unable to afford increasing rents). Experts refer to the process of the wealthy forcing out working class residents as “climate gentrification”.

The study’s researchers said they examined the issue to see if Florida communities are preparing for this type of population displacement. What they found is that with coastal displacement more likely to occur later in this century, local governments aren’t doing anything now to address the inequity that will likely occur when wealthy real estate owners begin to move inland from the coast. They’re calling on “Florida’s policy makers, planners, public officials, advocates, and developers (to) lay the groundwork for a more equitable transition to a new reality imposed by climate change and sea level rise.”

In their conclusion they write: “Florida’s coastal communities can buy time before coastal displacement is overwhelming and shore up policies and investment in lower income neighborhoods to minimize future displacement through gentrification there. It is an imperfect solution to an insurmountable problem, but it reduces the pace and scale of the disruption and reduces the harm faced by those who are likely to suffer most.”

As a resident of South Florida, I’m already seeing gentrification taking place, not due to sea level rise, but due to wealthy northerners’ insatiable hunger for South Florida real estate. The city I live in is upgrading the infrastructure in traditionally working class neighborhoods located inland not to protect the affordable housing there but to make it easier for developers to purchase properties and build higher end housing there. Lower income property owners forced to compete with the wealthy in this situation are also made more vulnerable to displacement by property taxes that rise as their real estate appreciates, escalating insurance costs, and general inflation for things like home maintenance, food and utilities.

This harsh reality makes it easy to imagine that climate gentrification will become a reality when coastal areas can no longer be defended from sea level rise flooding. The researchers state in their report that they’re not sure there’s the political will present to protect the working class from being displaced. From what I’ve seen, it doesn’t exist and certainly not on the scale that’s needed. It will be interesting to see if the will to protect the working class — who are needed for a healthy economy — develops as lower income residents are increasingly displaced by people moving here from out of state. If it does, it may increase the odds of a more equitable retreat from the coast due to sea level rise in the coming decades.

New Miami-Dade County Law Makes it Easier for Buyers to Evaluate Condo Building Maintenance and Reserves

The tragic collapse of a the condo building in Surfside, Florida, that claimed 98 lives continues to force changes in the way real estate is bought and sold all across the country. This month, Freddie Mac and Fannie May, the quasi-government organizations that back many of the nations mortgages, began requiring condo associations to answer detailed questionnaires about a building’s maintenance, repairs, and reserves to determine overall safety and financial soundness as part of the process lenders use to evaluate mortgage applications.

On Tuesday, the Miami Dade County Commission took transparency a step further and unanimously passed a new law requiring condo and homeowner’s associations to file detailed financial and maintenance records for inclusion in an online library. Currently, Florida real estate law requires sellers to provide buyers with these documents only upon request AFTER a sales contract is executed. The buyer is then given three days from receipt of the information to cancel the contract if they don’t like what they see.

Some real estate agents told the Miami Herald they’re relieved that the new database is being created. They complained that condo associations and homeowners associations often made it difficult for sellers and buyers to access the relevant documents and too often they were delivered incomplete.

One potential shortcoming of the law is that the associations are only required to file the documents on an annual basis, which leaves the possibility that the information will be outdated by the time a buyer receives it. This could lead to a buyer not being aware of such critical information as a costly special assessment that is under review or approved since the last annual filing. Note to Buyers: Still request the latest condo docs and financials when conducting a review.

Overall, the move toward greater transparency regarding real estate is a huge plus for buyers and owners, especially when sea level rise is already causing maintenance and funding challenges for condo developments located on or near the coast. Regardless of a coastal state’s laws, buyers everywhere need to take a look at condo association and homeowner’s association documents and financials before they commit to close a deal.

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