Increasing Flood Damages Worrying Real Estate

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Increasing instances of flooding are taking a toll on real estate in two ways - one, the cost of repairing the flood damage, and two, the fall in building valuations over time due to increased wear.

Science Vouches For It

By matching an area's flooding trends with professional knowledge of structure and architecture, analysts are now beginning to quantify the impact of flood risk on each specific type of building. 

With that data handy, the economic consequences of a flooding event can be calculated with grim accuracy. This data is now being used by real estate investors to understand the long term costs of owning flood prone assets. 

Are Our Coasts Clear?

Hardly. In Kerala alone, INR 2,450 crore has been spent under the 'Punargeham' project to rehabilitate over 18,000 families living in coastal areas, where climate changes and tidal attacks pose a continuous threat to their lives. 

As climate change continues to accelerate, flood risk will pose an economic threat to properties across the country. 

CRE Takes A Direct Hit

In USA alone, structural damage to Commercial Real Estate (CRE) from flooding, is projected to cost USD13.5 billion in 2022, increasing to over USD16.9 billion by 2052, according to the First Street Foundation.