Do I Need Flood Insurance to Buy a Home in Huntington Beach?

Huntington Beach is a coastal city, and parts of it are low-lying. FEMA maps flood risk across the city, and the City of Huntington Beach shares that information with residents. In March 2019, FEMA released updated flood maps for the city's coastline area, and the City notes that some properties were placed into Special Flood Hazard Areas marked "AE" or "VE."

That means two homes a short drive apart can have very different insurance needs. The only way to know is to check each address.

I'm Jeanette Nelson, a REALTOR® with Jeanette Nelson Real Estate, Keller Williams Realty, serving Orange County, Huntington Beach, Costa Mesa, Fountain Valley, and surrounding areas. I want every buyer I work with to know a home's flood zone early, before it becomes a surprise in escrow.

1. Go to the FEMA Flood Map Service Center at msc.fema.gov and search by the property address.
2. Read the zone. Zones that start with "A" or "V" are Special Flood Hazard Areas. Other zones carry lower mapped risk.
3. Print a FIRMette if you want a copy of the map for your records. FEMA's site has directions.
4. Ask the City. The Permit Center in Huntington Beach's Community Development Department can help you confirm whether a property is in a flood zone, explain insurance requirements, and look for an elevation certificate on file.

According to the City of Huntington Beach and FEMA, if a home is in a Special Flood Hazard Area and you have a mortgage from a federally regulated or insured lender, you're required to buy flood insurance. The City notes that the coverage must stay in place for the life of the mortgage.

A few things to know:

• Ask your lender early whether this rule applies to your loan.
• Ask about homes outside a high-risk zone, too. Your lender can tell you what it requires for the address you choose.
• Paying cash? No lender rule applies. The flood risk is the same either way, so the decision is yours.

Because Huntington Beach participates in the National Flood Insurance Program (NFIP), flood insurance backed by the federal government is available to everyone in the city.

• NFIP policies are sold through insurance companies and agents. For a home, building coverage goes up to $250,000 and contents coverage up to $100,000, purchased separately with separate deductibles.
• Private flood insurance is written by private insurers. Coverage limits and pricing vary by company, and some private policies can go above NFIP limits. Ask your lender whether a private policy meets its requirements before you choose one.

The City also states that Huntington Beach participates in FEMA's Community Rating System, which allows NFIP policies in the city to be purchased at a reduced rate.

Premiums vary from home to home, based on the property and its risk. This isn't insurance advice. A licensed insurance agent can quote both options for the specific address.

In California, the seller's side provides a Natural Hazard Disclosure Statement. One of the items on it is whether the property lies within a Special Flood Hazard Area (any Zone "A" or "V") designated by FEMA. Read it carefully, and compare it with what you find on FEMA's map.

If something doesn't line up, ask questions during your inspection period.

Early. I recommend getting a quote during your inspection period, while you still have time to weigh the cost.

• Know the cost before you're committed. A flood policy is part of your monthly housing cost, the same as property taxes and homeowners insurance.
• Plan around the waiting period. FEMA notes there's typically a 30-day waiting period before a new NFIP policy takes effect. When the policy is required as part of a new loan, coverage can begin at closing, so tell your agent and lender your closing date.
• Ask for an elevation certificate. If one exists for the home, share it with your insurance agent when you ask for a quote.

If you're looking at homes near the coast and want help checking flood zones, disclosures and timelines, I'm happy to walk through it with you. Call or text me at 714.366.8575 | DRE: 01397168, or contact me. Jeanette Nelson is a REALTOR® with Jeanette Nelson Real Estate, Keller Williams Realty, serving Orange County, Huntington Beach, Costa Mesa, Fountain Valley, and surrounding areas.