[StBernard] Point of View by Ron Chapman

[Westley Annis]

Point of View by Ron Chapman

Don't Panic Sell!!!!!  Make no decisions about your house for at least three
months!

Like you, my home was destroyed by the floodwaters of Katrina.  Some were
unfortunate enough to have their homes re-flooded when the storm surge of
Rita forced water through the collapsed levees.  The combined impact of
these two events, coupled with the Murphy Oil spill has rendered many
residences uninhabitable.

When one drives about St. Bernard, the sense of loss and abandonment is
obvious as house after damaged house sits exposed with the front doors
opened.  On the one hand that is an invitation for anyone to enter, on the
other it is acknowledgement that there is nothing there to take.  Many are
heartbroken and just want to cut their losses and get away.

With this in mind, some members of our community have already sold their
homes for a pittance.  More are considering doing the same.  That would be a
major mistake!

Please, wait about three months before even considering such a drastic move.
We do not know what FEMA and the Corps of Engineers have in mind.  There is
some talk that houses in areas that continually flood may be removed, but
the homeowners could be compensated at a rate AT or ABOVE the pre-Katrina
value of their home, with no consideration of insurance settlement.

Consider how upset you would be if you had a home that was valued at
$200,000 before the storm.  You received $130,000 in Flood insurance than
sold it for $75,000.  You would have received total compensation of
$205,000.   If you didn't have Flood Insurance you would only get the
$75,000.  

Now suppose you kept your house for a few months and FEMA or the Corps of
Engineers would decide to compensate for the full value of you home with no
regard for insurance compensation.  You would have received $130,000 Flood
Insurance and $200,000 federal compensation for a total of $330,000!  Is
that worth the wait???

There are some speculators out there who are buying up property.  They are
not doing this out of charity. They anticipate making a profit.perhaps a BIG
profit.   

Our parish has been devastated.  There are plans to revitalize it.  If they
succeed property values will improve.  If they don't succeed and some
reasonable compensation is offered, you may still come away financially
whole.  There is too much uncertainty to make any sudden decisions.

Another factor is clean-up.  Will you have to gut you home at your own
expense, or will federal authorities lend a hand?  This is another matter
open for discussion.  Again, wait a while and see what happens.  Gutting a
home costs about $2.50-$3.00 per square foot.  That comes to thousands or
dollars.  Any savings here can be a blessing as well.

Be mindful that you have lived in our wonderful parish for many years.  You
have a great emotional and financial investment here.  Be patient.  You
could come out of this better than you presently imagine.  Anything would
help, right?  So give it a little time, please!

Has anything been decided?  No! Therefore, you should make no decisions
either!