Blog: What impact does the threat of a hurricane have on home closings?
Sep 7, 2010
Louis Spagnuolo of WCS Lending in Boca Raton answered reader questions about the housing market in a September 3, 2010 posting on the Sun Sentinel House Keys blog:
Q: What impact does the threat of a hurricane have on home closings? — Theodore
A: If a storm were to threaten the Florida coast, many property insurers will stop writing new policies. This will affect homebuyers who need insurance to finalize their mortgages. Without insurance, lenders won’t extend financing. Each insurance carrier abides by its own specific rules when it comes to issuing new policies regarding a hurricane. Citizens Property Insurance, for example, stops writing policies in a wide area if a hurricane threatens. Some insurers rely on the National Weather Service to issue a storm watch or warning and will stop writing policies in areas that potentially may be affected. My suggestion to all homebuyers who require financing: Contact your property insurance carrier to determine its rules and regulations and act accordingly.
Find the complete posting at: http://weblogs.sun-sentinel.com/business/realestate/housekeys/blog/2010/09/ask_a_real_estate_pro_whats_dr_1.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+ss-housekeys+%28House+Keys+%7C+Sun-Sentinel+Blogs%29