For the latest investment opportunities, register here for updates.



Hurricane Damage resize

Hurricanes can boost the real estate market by creating an opportune time to buy, sell or invest.

Downed trees, leaking roofs, damaged boats, and seemingly unending piles of debris is what all our locals are dealing with in the wake of Hurricane Sally. Insurance adjustors, tree services and carpenters are in high demand right now on the shores of the Gulf Coast. Every one of our employees (and our own offices) are all reeling with damage, and our hearts go out to all the homeowners and businesses that are struggling with first a pandemic and now a major storm. But ironically enough, these strong storms can give the real estate market a boost that can benefit both buyers and sellers.

For Sellers:

When homes are damaged or destroyed during a hurricane, it shrinks inventory and this creates more of a seller’s market. Construction teams are tied up in repairs and so new construction is hard to find. Typically, after a storm inventory is low, so demand goes up and conversely so does price. In fact, “the Federal Reserve Bank of Dallas completed a study after investigating the hurricane impacts on housing markets in U.S. cities. They reported that the ‘typical hurricane strike raises house prices for a number of years, with a maximum effect of between 3 to 4% three years after the storm.”  So if you’re thinking of selling your home – now may be the best possible time to do so.

For Buyers:

Why would I want to own real estate in a place where experience many hurricanes? Surprisingly, a hurricane has the opposite effect than what you might expect. In reality, reports show that hurricane damages actually cause housing markets to boom. Some owners want to sell so they no longer have to deal with the risk of storms, and some just don’t want to deal with the repairs and contractors involved. Most of our residents will remind you that storms are typically far and few between, the last major storm in our area was Hurricane Ivan in 2004… 16 years ago. The benefits of living in paradise far outweigh the frequency of serious storms. For buyers, the formula is the sooner, the better. Inventory will become less and less in the months following Sally and prices will go up. So if you’re serious – the time is now.

For real estate investors:

Buying real estate after a hurricane has proven so advantageous, that some real estate investors are now referred to as “storm chasers.”  Damaged homes allow investors to purchase properties at lower prices, rehab them and re-sell them. Many investors have construction and contracting skills, and the damage from a storm provides the perfect conditions for buying and re-selling.

Whether you are a buyer, seller or investor, a hurricane has its benefits. Give us a call and let us help you figure out how to ride, Sally, ride.


Published by Joy Sullivan
Friday, October 9, 2020