Our property is near the earthquake faultline

[Alexandoy]

When we bought our property it was by a bank loan so it underwent the assessment of the bank’s credit inspector regarding the value. After some years of residing in our home we learned that we are near the earthquake fault line. That is the reason why so many concrete fences in our village were leaning because of the undefined tremors. In fact I had our fence re-constructed some years ago to correct the architectural error.

Now we are in a quandary on the real value of our property. If we are going to sell it the price will definitely be lower because of the reports on the earthquake fault line. I don’t regret buying this property but I am quite worried in case we develop some plans to move to another place.

 

[Deleted member 28127]

Take a bank loan is a lot of risk because in first side there is no guarantee of contunuity of work so you may work for 5 years as a teacher at this university and then university find a teacher better than you then do not renew your contract for 6th year so you may still 2 or 3 months unemployed searching for a new university to be a teacher there and second if you are unable to contunie pay your house you take a loan for it it becomes property of bank so you may make loan from relatives in this period to pay bank monthly fee and pay it back to neighboor means additionnal fee in going from university to university to teach students.

 

[Setho]

My actual problem is that if I thought you were going to buy this particular house from the bank then there were supposed to be some arrangements about an insurance policy. Nonetheless I think you have to do some very big cost-benefits analysis fast in order to know whether to sell the house or not.

 

[Mika]

The best solution I can suggest if you ask me is to get home insurance. By insuring your home, you will be able to recover some loss in case an earthquake damages your home. However, if you want to sell, you may not get the best price but I am certain that you will not make any loss as the property price is always soaring.

 

[Alexandoy]

I am not sure if there is an insurance that will give me a policy against earthquake. It is one of the so called acts of God that cannot be controlled like typhoon. However, I would agree that having an insurance against earthquake is good for the peace of mind. But let us see if there is a policy on that one because I have not heard about it here.

 

[Abigael]

That is so unfortunate. Such risks do happen to alot of people. You buy something good but such faults occur and so you have to sell at a lower price. I think you should take your time and just accept the things that have happened. Then when time comes to move, you will have more ease and maybe you will have saved up more finances to buy land elsewhere.

 

[Jasmine]

I have heard that in some countries they don't provide coverage for earthquakes and volcanoes because these are considered Act of God. When you are trying to buy property insurance, make sure you read all the clauses learn what kind of damages they will cover and what they will not cover.

 

[Sotherefore]

Well this will definitely affect the value of the property because most people may not likely to buy it and use it for anything important since it is likely to experience earthquake. Well I think the best thing you have to do is you could build a house in the land and you can rent it for people to leave and you will be able to earn some interest on yearly basis.