Homeowner willingness to pay for a pre-flood buyout agreement

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.

Name thesis:degree_name

M.S.

Level thesis:degree_level

Thesis

Discipline thesis:degree_discipline

Agricultural & Applied Econ

Grantor

University of Illinois at Urbana-Champaign

Year dc:date

2016

Author dc:creator

• Reeser, Collin M.

Contributors dc:contributor

• Ando, Amy

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

Statement dc:rights

• Copyright 2016 Collin M. Reeser

Language dc:language

en

Handle dc:identifier

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

OAI identifier oai:identifier

oai:www.ideals.illinois.edu:2142/92652