Houston-Area Flood Insurance Costs Eat Into Region's Affordability

A reorganization of FEMA’s flood insurance program will mean increases in insurance costs for coastal homeowners.

1 minute read

June 14, 2023, 8:00 AM PDT

By Diana Ionescu @aworkoffiction


Prices for flood insurance in Harris County, a third of which lies in a floodplain, could go up by as much as 75 percent according to FEMA data, writes Muizz Akhtar in the Kinder Institute for Urban Research’s Urban Edge.

“These costs, along with rising costs like homeowners insurance, may further contribute to Houston, long known for its housing affordability, no longer being able to deliver on that promise.”

Houston has long faced an annual hurricane season, but flooding is becoming worse and more unpredictable even as developers continue to build in areas prone to floods and pass on the risk to homeowners. Homes in coastal areas have often been insured under the National Flood Insurance Program (NFIP), “which the U.S. government created in 1968 after most private insurers gave up on providing such coverage.” Now, a restructuring of the NFIP could lead to a doubling of average flood insurance rates, putting it out of reach for many households.

“It remains to be seen how this new risk pricing for the NFIP will play out in terms of housing affordability, development and land use patterns, but one thing is clear from this year's Kinder Houston Area Survey: More people desire a more coordinated approach to planning the region.” In the survey, 80 percent of respondents said the region needs better land-use planning for future development.

Sunday, June 11, 2023 in Urban Edge

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 16, 2025 - Diana Ionescu

Green vintage Chicago streetcar from the 1940s parked at the Illinois Railroad Museum in 1988.

Chicago’s Ghost Rails

Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.

July 13, 2025 - WTTV

Blue and silver Amtrak train with vibrant green and yellow foliage in background.

Amtrak Cutting Jobs, Funding to High-Speed Rail

The agency plans to cut 10 percent of its workforce and has confirmed it will not fund new high-speed rail projects.

July 14, 2025 - Smart Cities Dive

Worker in yellow safety vest and hard hat looks up at servers in data center.

Ohio Forces Data Centers to Prepay for Power

Utilities are calling on states to hold data center operators responsible for new energy demands to prevent leaving consumers on the hook for their bills.

July 18 - Inside Climate News

Former MARTA CEO Collie Greenwood standing in front of MARTA HQ with blurred MARTA sign visible in background.

MARTA CEO Steps Down Amid Citizenship Concerns

MARTA’s board announced Thursday that its chief, who is from Canada, is resigning due to questions about his immigration status.

July 18 - WABE

Rendering of proposed protected bikeway in Santa Clara, California.

Silicon Valley ‘Bike Superhighway’ Awarded $14M State Grant

A Caltrans grant brings the 10-mile Central Bikeway project connecting Santa Clara and East San Jose closer to fruition.

July 17 - San José Spotlight