Facing facts on floods and financing

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Q: I bought a home five years ago and did not notice that my second mortgage had a balloon rider. (I grew up in the projects and had never owned a home.) Also, the house was not in a flood zone when I bought it, but now the second lender says I am in a flood zone. I looked on my appraisal and the Federal Emergency Management Agency (FEMA) map used in 2005 was dated 1998! When I contacted the builder's office, I was told that it still has homes for sale in this subdivision and the banks have not informed the builder that we're in a flood zone. The county engineer said that at the time I bought my home, the flood zone was to the west of my house, but since FEMA has updated its map, the flood zone includes my house. I would not have purchased this home if it was in a flood zone! The guy who did my financing had commented that the builder is a crook. Also, I heard that the person who arranged my financing has recommitted suicide. A: Wow. You have a lot going on there. Let's s...