For years scientists have been increasingly more persistent about proving global warming and the effects of rising sea levels. Experts believe that the next few decades will be a critical time for Miami real estate and the end result may be a reduction in land value. Scientists have predicted that in the next two decades we will start to feel economic effects of global warming. These effects will most likely come in the form of property damage caused by elevated water levels as well as a reduction in land value due to the increasing threat of more damage to a widespread area of low-lying land.
The Southeast Florida Regional Climate Change Compact, a joint effort of four county governments, calculated that a one-foot rise in sea level could result in upwards of $4 billion in taxable real estate. Furthermore, a three-foot increase in sea level could result in a $31 billion loss.
A chart showing American’s belief in global warming and that the threat it imposes on them. From the washingtonpost.com.
With the current real estate surge in Miami and awareness that there are 174 towers currently being proposed or planned for construction, the thought of multi-billions of dollars in damage in the future is at least enough to raise some eyebrows. William Hardin, a professor of real estate at Florida International University, tells, “If you truly believe in global warming, you’re going to have an issue being in real estate in South Florida.”
Only time will tell…
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