New Floodplain - Get Insurance NOW for Grandfathered Low Rates

Well, it's finally here. After years of debate, the official 100-year floodplain for the Lake Travis area is changing. The new base flood elevation is 722 feet (above mean sea level), a change of 6 feet from the old 100-year floodplain of 716 feet.

The 100-year floodplain does not mean that a property in that area is likely to flood once every 100 years; it means that there's a 1% chance of a flood of that magnitude each year. There's about a 26% chance of being flooded at least once during the 30-year period of a typical mortgage. Any lender whose funds are backed by the federal government (which is virtually all mortgage companies) will require borrowers to have NFIP (National Flood Insurance Program) flood insurance.

What does this mean to you? If you live in an area that is not currently in the 100-year floodplain, but will become so, you want to get flood insurance NOW- before August 11th. This locks in your insurance 45 days before the new floodplain maps become effective, and thus, grandfathers you in at a better/lower insurance rate. This will lower your flood insurance costs not only immediately, but in future years - and keeps that rate lower for future purchasers of your home, which could affect the market value of your home.