According to Core Logic, 70% of the houses in Texas are not covered by any insurance. Most people there do not have flood insurance.
One must expect, with dollar losses at the level CoreLogic predicts, there will be a substantial impact on the housing and housing finance industries as well.
Many people will just walk away from their mortgage. Fema money won’t cover the water damage.
So what happens to the banks involved? another melt down? The housing market has gone up so much, people wonder what it would take for another crash. I could not figure out what would do it- but maybe now i can.