Buyers under contract may want to secure national flood insurance before the end of the month or find private coverage that’s accepted by their mortgage lender.


ORLANDO, Fla. – The National Flood Insurance Program (NFIP) expires at midnight on Sept. 30, 2019. Extensions have bipartisan support in Congress, but NFIP extensions have a long history of last-minute problems.

Should Congress fail to pass an extension before the Sept. 30 deadline, NFIP won’t be able to write new flood insurance policies starting on Oct. 1.

NFIP hiatus and homebuyer impact

While NFIP has faced a deadline many times over the years, there’s a ray of hope for Florida homebuyers this time around: New federal regulations regarding private flood insurance went into effect this summer. Under the rules, mortgage lenders must accept private coverage in lieu of NFIP providing that coverage follows specific rules that make it similar to NFIP coverage.

Buyers who plan to close after Oct. 1 and need flood insurance should research options to avoid any last-minute speedbumps on the road to closing.

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