Homeowner willingness to pay for a pre-flood buyout agreement

Reeser, Collin M.

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https://hdl.handle.net/2142/92652 Copy

Description

Title

Homeowner willingness to pay for a pre-flood buyout agreement

Author(s)

Reeser, Collin M.

Issue Date

2016-07-22

Director of Research (if dissertation) or Advisor (if thesis)

Ando, Amy

Department of Study

Agr & Consumer Economics

Discipline

Agricultural & Applied Econ

Degree Granting Institution

University of Illinois at Urbana-Champaign

Degree Name

M.S.

Degree Level

Thesis

Keyword(s)

• Flood Insurance
• Climate Change
• Flood Policy
• Flood Risk
• Buyout

Abstract

Flood events are expected to increase in frequency and severity as climate change raises sea levels and intensifies regional precipitation events. The only permanent means of removing high risk homes from flood prone areas is through homeowner buyout programs. Using an online contingent valuation survey we evaluate homeowner willingness to pay for a pre-flood buyout agreement where the owner is paid pre-flood market value for their home and must relocate following a flood damaging greater than 50% of the value of their home. Additionally, we estimate homeowners' willingness to sign up for a pre-flood buyout agreement coupled with flood insurance. We find self-reported flood risk estimates, income, the expectation of neighbors also signing up for the buyout, environmental concerns, and flood experience all significantly affect homeowners' willingness to pay for the program. When coupled with flood insurance we find self-reported flood risk estimates, income, neighborhood tenure, environmental concerns, and flood experience all significantly affect homeowners’ willingness to sign up.

Graduation Semester

2016-08

Type of Resource

text

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http://hdl.handle.net/2142/92652

Copyright and License Information

Copyright 2016 Collin M. Reeser

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