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Answer :
Final answer:
A special flood hazard area (SFHA) is an area at high risk for flooding. These areas have a 1% annual chance of flooding and are subject to special building and insurance requirements. Homeowners in SFHAs may be required to purchase flood insurance and meet certain construction standards.
Explanation:
A special flood hazard area (SFHA) is an area that is at high risk for flooding. These areas are determined by the Federal Emergency Management Agency (FEMA) through the creation of flood hazard maps.
When a location is designated as a SFHA, it means that there is a 1% annual chance of flooding or a 26% chance of flooding over the course of a 30-year mortgage. SFHAs are subject to special building and insurance requirements to help mitigate the risk of damage from flooding.
For example, if a property is located within a SFHA, the homeowner may be required to purchase flood insurance in addition to regular homeowners insurance. Additionally, building codes may require certain construction standards, such as elevating the living area of a house above the base flood elevation.
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