Don't become a flood victim

It's devastating to see the results of the floods in Queensland and NSW. Particularly for those about to go through the painful process of cleaning up or rebuilding their property, some who are doing it for the second time in two years.

For many this rebuilding phase is going to be emotionally heartbreaking and if they are not covered by the correct insurances, financially crippling. It’s an all too real reminder to be aware of the risks when buying residential or commercial property and to take note of the flood information included in all property contracts before signing on the dotted line.

Here are some tips on how to be informed on a property’s flood risk and what to look for when viewing the property:

• Check the flood information included in the property contract – this information is typically provided by the relevant council body and if for some reason it’s missing then you or your solicitor need to contact the council to find out if the land has been exposed to flood in the past or has the potential in the future. The detail provided in contracts gives an indication of the likelihood of the property flooding by showing information such as 1:25 year event or 1:100 year event. Obviously there is no guarantee that it won’t happen more regularly but it’s a guideline to consider before buying the property.

• Council flood maps – check with your local council to see if any flood maps are available on a postcode-specific basis. It is also worth downloading the free Bureau of Meteorology app at www.bom.gov.au to access flood warnings and general information directly from the Bureau in each state when needed.

• Make sure you can secure insurance – don’t assume you will be able to obtain insurance post purchase as some suburbs and low lying areas are not able to get it.  Make sure you know what insurance you can secure before you buy the property. 

• Get the right insurance – in most cases flood insurance is part of your home and contents protection, usually covering associated costs like drying out, repairing and restoring property fixtures and fittings. Also check whether your flood insurance is for storm or river flooding and decide which best applies to your situation.  Note: areas at risk of flooding may have higher premiums and excesses.

• Look for signs of damage when viewing properties – homes that are located in flood affected areas will typically show signs of past damage. Look for water stains on foundations, warping of walls and floors. If you drop a marble in the centre of the room and it beats you to the wall it’s not a good sign.  Some properties have been cosmetically covered up quite well so be sure to look at neighbouring properties that are not for sale and ask your solicitor to ask the vendors in writing if it’s ever been flood affected.