The sea levels are on the rise but this is not deterring the property buying public as houses with ocean views continue to be in great demand. The article “Coastal property: How to keep your head above water” argues we are turning into a nation of house buyers only interested in living for the moment, why else would we throw caution to the wind and take on the risks of a potentially precarious location?
No one can argue that the sight of the sea from your home is something to behold. A house by the sea is a dream come true for the people who take the plunge and relocate to the shores of England. Unfortunately, according to the Environment Agency, these dreams could easily turn into nightmares as sea levels rise twice as high than was previously forecast by the United Nations two years ago. Additionally, the Environment Agency have announced that as many as one in six people in England are at risk of being flooded already.
Properties by the sea continue to sell like hotcakes even though people are risking flooding and not only that but following a downturn in the property market, it is the sea view homes market which tend to recover with a greater alacrity.
Estate agents are currently observing much demand for mid and top range coastal properties and expect this to continue in the face of warnings from the Environmental Agency. Even when it is pointed out to buyers that properties are vulnerable to flooding or erosion, estate agents claim buyers are not put off! The “It won’t happen to me” adage is very much in play in the waterside property market.
But what about buildings insurance? You may not be able to get your brand new property with the stunning sea view covered by insurance. It can be difficult to get building insurance when your home is the mercy of an enthusiastic tide? On many occasions buildings insurance is not available and when it is a high premium is required. According to the Association of British Insurers, the general ruling is that flood insurance is made available only when there is less than a one in seventy five yearly flood risk. Not even a property perched up high on a coastal hillside out of the way of flood risk is safe from the calculating eye of the insurance provider as some companies base their decisions on post codes and not height above sea water. Beware the perils of buying a property by the sea, as it may not be as idyllic as first it seemed.