Pricing Begins To Separate; Miami Homes @ Risk Of Flooding Not Keeping Up W. Drier Properties

[hatrack]

The trillion-dollar coastal property bubble is ready to burst as global warming-driven sea level rise and storm surges threaten more and more property with flooding.

We are now seeing “a pricing signal from climate change” in the relatively depressed prices for the coastal property most at risk for flooding, as Harvard real-estate professor Jesse Keenan told the Wall Street Journal Friday.

Keenan is the lead author of a new study of Miami single-family homes that found the “rates of price appreciation in the lowest elevation” homes “have not kept up with the rates of appreciation of higher elevation” homes since about 2000 (see chart). That is, the homes along Miami’s coast most at risk from climate change are seeing their value drop over time compared to homes less at risk of flooding.

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Flooding driven by climate change is affecting home prices in Miami. Via Wall Street Journal.

EDIT

The economic risks from rising seas are enormous — but the Trump administration’s policies all but guarantee a worst-case scenario plays out.

A 2014 Reuters analysis of this “slow-motion disaster” calculated there’s almost $1.25 trillion in coastal property whose value is being propped up by the National Flood Insurance Program’s below-market rates.

EDIT

https://thinkprogress.org/rising-seas-hit-u-s-coastal-property-values-a-pricing-signal-from-climate-change-848bf4e7443b/

[Fullduplexxx]

1. I guess paradise is t what it was