MARSHFIELD (CBS) – Homeowners on the South Shore suddenly have to pay a lot more in flood insurance. Because of Hurricane Sandy, FEMA is redrawing the floodplain maps up and down the Eastern Seaboard.
The result could cost homeowners millions of dollars and some residents are considering moving out. In Marshfield alone, there are an estimated 1,700 new homes where the owners will be forced to pay thousands of dollars more for flood insurance.
Joy Crowley went to Marshfield Town Hall to see if she had any recourse, she did not.
Crowley’s insurance is now at $489 but it may go up more than $10,000.
Last December, Mitch Haddad built a brand new restaurant near the ocean in Marshfield they went above and beyond FEMA specs.
But now, the new specs say his restaurant needs to be higher so his flood insurance may quadruple.
“We’re technically below the floodplain now,” he said. “They’re telling us it’s now going to be up to 25% more each year for 4 or five years.”
Some say the economic impact along coastal northeast could be devastating with homeowners trying to sell homes that no one now wants. Because of insurance premiums.
Towns and homeowners can appeal to FEMA but only until mid-October.