Major category hurricanes do in fact change the dynamics of the real estate market in various regions. For instance consider all along the Gulf Coast after hurricane Katrina where all the people who had evacuated came back only to find that their homes have been destroyed. Some of them had insurance and some did not, but all of them were immediately in the market for a new home and a place to live.

I have one friend who had property along the Gulf Coast and actually owned a little island and when the last hurricane came through rather than washing away there island it added about 12 acres to it, because it rearranged the coastline. Of course they thought they were going to lose their island, but the way the hurricane came in, it added to it. Of course they are gaining at someone else's loss and wherever that land was taken from means there is less barrier for the next hurricane strike.

Some areas that have been devastated by hurricanes experience a huge loss in real estate values and this often happens even if the hurricane does not strike but people believe it might. Major hurricanes change the dynamics of the real estate market in various regions, sometimes it is a good thing, but more often it is not. Please consider all this in 2006.

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