Love It Or List It Australia

What to look for when buying property in a flood or fire zone

Australia is a country known for its weather extremes. Dealing with the threat of floods and bushfires is something a lot of homeowners have to prepare for - but it's not all doom and gloom. These conditions can be of benefit when you're in the market for a new home.

Houses in these areas aren't always a buyer's first choice, so they have been known to come with a slightly reduced price tag.

In addition to a lower market value, lenders can also be wary of supplying loans to areas that are deemed to be of high-risk.

Things like elevation, weather pattern history and the position of the property on the land are taken into consideration to determine the level of risk.

While these conditions can put some buyers off, it can also be a golden opportunity to secure a well-appointed property for a great price - you just need to weigh up if the saving is worth it.

Looking to buy in these areas may have some financial implications. In some cases, you may need a bigger deposit and be prepared to shell out on higher insurance premiums - so it's important to do your research before making any big decisions.

If you're selling after a flood or bushfire, your value may drop, but keep the faith, as prices will usually bounce back as time goes on.

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