You Can Get Flood Insurance During The Government Shutdown...  

...but you will need to seek an alternative to the typical policy

there is a lot of chatter about this that is incorrect

and its causing people to believe that their real estate deals are doomed

its untrue and its causing a lot of unnecessary stress for people

the most popular flood insurance policies are government backed

they are realtively easy to obtain

and they are almost always less expensive 

with the goverment shut down

those are not currently available

what I would like people to know

is that there are alternative coverages available

that will satisfy most lenders requests

and allow financed home sales to close on time

its always recommended to review the policy limits and copays

and yes these coverages will probably cost you more $$$

and if a buyer knows upfront they have the information

to make an informed decision on how to proceed

I have rarely heard from a home buyer 5 years post closing

that was at all concerned about paying $1000 or so more

for something unexpected at closing

what they remember most is that they got the home that they wanted

I cannot say with certainty what the acutal cost difference might be

but I do know that there are at least 3 ways to pay for that cost

1 - The buyer can just pay it so that they can move in sooner

2 - The seller might pay it to close the sale and unlock the proceeds

3- The buyer and seller can agree to share the cost

The 1 thing to watch for is the possibility of a named tropical storm

entering into the area in such a way that insurance lines are shut down

keep in mind that you do not need to keep an alternative coverage forever

you can replace it with traditional coverage once the government reopens

there may be some termination fees or restrictions

but I don't think that it would prevent anyone from having options that make sense

tune in for the rest of the details