Federal Climate Funding Gets Pulled — And Billions in Real Estate Risk Suddenly Spike
Real estate investors across the U.S. are waking up to a financial shockwave: The federal government has abruptly halted a major FEMA resiliency grant program, creating billions of dollars in unprotected real estate exposure just as extreme weather events intensify nationwide.
For years, the Building Resilient Infrastructure and Communities (BRIC) program helped cities fortify themselves against flooding, wildfires, earthquakes and climate-related threats. But with the program now canceled and nearly a billion dollars in unspent funding being reclaimed, thousands of properties — and the communities surrounding them — are left scrambling.
A Sudden Funding Freeze That Caught Cities Off Guard
“Dozens and dozens of communities… suddenly in a lurch with the gap,” said former FEMA coordinator Victoria Salinas.
Since 2018, BRIC grants covered between 75% and 90% of resiliency project costs. Local governments relied on this support to modernize infrastructure and protect neighborhoods. Now, many are facing half-finished projects — and drastically higher out-of-pocket expenses.
Twenty states have already sued to reverse the shutdown, but for the moment, the burden shifts to local municipalities — and ultimately, to commercial property owners.
Commercial Real Estate Faces Mounting Pressure
NASA reports that severe weather events have doubled since 2024 compared to previous decades. Insurance premiums are rising fast, with projections of an 80% increase by 2030.
Without federal mitigation support, insurance carriers may restrict coverage or exit high-risk markets altogether.
“When exposure increases, there’s volatility… Some underwriters might pull out completely,” said Danielle Lombardo of Howden U.S.
Areas like Florida feel this pressure intensely. Landlords have already endured a 10% year-over-year rise in insurance costs per apartment from 2017 to 2023.
Cities Left Searching for Financial Lifelines
New York has over $224 million in open BRIC projects, plus seven awarded projects now at risk. Its $228.8 million Seaport Coastal Resilience Project — designed to protect 91 buildings — is now uncertain, leaving entire communities vulnerable.
In High Point, North Carolina, an aging sewer system leaks tens of thousands of gallons of wastewater during storms. The city spent millions preparing its BRIC application — and now must start over.
“It’s made us get back to the drawing board,” said Rachel Collins of Business High Point, “but… think on a broader scale of collaboration.”
Creative Financing: Cities Explore New Models
Communities nationwide are experimenting with new funding vehicles such as:
State-issued environmental bonds
Braided funding models combining grants, philanthropy and city capital
Public-private partnerships to distribute resiliency costs
These approaches show promise — but they’re slower, more complex and require tight coordination.
Why This Matters for Real Estate Professionals
Every dollar invested in resilience saves $13 in post-disaster recovery, according to the U.S. Chamber of Commerce. Without federal funding, the responsibility shifts directly to investors, developers and property professionals to understand and manage climate risk.
For those working in real estate, mortgage, insurance or finance, climate literacy is no longer optional — it’s a competitive advantage.
Preparing Professionals for a Changing Market
Cameron Academy equips real estate and licensed professionals with the knowledge needed to navigate today’s rapidly evolving climate and insurance challenges.
Whether you’re starting your career or expanding your credentials, Cameron Academy provides industry-leading education across real estate, mortgage, insurance and other fields — helping you stay informed, adaptable and competitive.
Federal dollars may be disappearing — but the urgency to protect communities, safeguard properties and elevate professional preparedness has never been more critical.
More Articles
Getting licensed or staying ahead in your career can be a journey—but it doesn’t have to be overwhelming. Grab your favorite coffee or tea, take a moment to relax, and browse through our articles. Whether you’re just starting out or renewing your expertise, we’ve got tips, insights, and advice to keep you moving forward. Here’s to your success—one sip and one step at a time!
This exclusive interview features Doug Duncan, the Chief Economist at Fannie Mae, sharing his expert insights on the housing market outlook. Duncan emphasizes the remarkable resilience of the housing market, attributing this to the persistently low mortgage rates. He highlights the crucial role played by the Federal Reserve in ensuring low mortgage rates, thereby making homeownership more accessible. Duncan acknowledges the rapid increase in home prices, primarily driven by the interplay between supply and demand. Looking ahead, Duncan maintains an optimistic outlook for the housing market, pointing to the rising demand from millennials entering the prime homebuying age as a significant driver of future market growth.
Eager to embark on your journey to homeownership? A crucial step in this process is obtaining a preapproval mortgage. This comprehensive guide will walk you through the necessary steps and provide valuable insights to help you secure the best deal for your dream home. Before you start house hunting, it's essential to gather the necessary documents that lenders require for a preapproval mortgage. By being prepared, you can demonstrate your financial means and show sellers that you're serious about purchasing their property. As you navigate the preapproval process, it's crucial to shop around for lenders. By comparing rates, terms, and fees, you can ensure you're getting the best deal possible. Applying for preapproval with multiple lenders can also increase your chances of approval, giving you more options to choose from.
In periods of market volatility and uncertainty, investors face a unique set of challenges and opportunities. This article delves into the critical role of fear and greed in investment decisions, offering ten crucial insights to assist investors in navigating these turbulent times. By understanding and managing these emotions, investors can maximize their profits and make informed decisions that align with their long-term goals. Whether you are a seasoned investor or just starting out, these insights will serve as a valuable guide to navigate the complex landscape of investing during volatile times.
Being a landlord can be a challenging task, especially when it comes to managing tenant phone calls. By implementing efficient strategies, landlords can minimize tenant phone calls, streamline communication, and enjoy a hassle-free landlord experience. One key component of an efficient communication system is a comprehensive tenant handbook. This handbook serves as a valuable resource for tenants, providing them with essential information about the property, maintenance procedures, and emergency contacts. Another effective strategy to minimize tenant phone calls is the implementation of an online maintenance request portal. This portal allows tenants to submit maintenance requests online, providing all the necessary details and even attaching photos if needed. By streamlining the maintenance request process, landlords can efficiently address issues without the need for lengthy phone conversations. Lastly, landlords can minimize tenant phone calls by building a network of trusted service providers. By partnering with reliable contractors and maintenance professionals, landlords can ensure that maintenance issues are addressed promptly and efficiently. This eliminates the need for landlords to handle every request personally, reducing the number of phone calls and freeing up time for other aspects of their rental property business. By implementing these strategies, landlords can significantly reduce the number of tenant phone calls, improve their work-life balance, and create a more streamlined and efficient communication system. It's time to embrace these innovative approaches and enjoy a hassle-free landlord experience. Discover the proven strategies to minimize tenant phone calls and streamline your communication system. At Cameron Academy, we offer comprehensive courses designed to empower landlords with the knowledge and skills they need to succeed in the real estate industry. Take the first step towards a hassle-free landlord experience by exploring our courses and start your journey towards optimizing your rental property business today.
Real estate investment can be a lucrative endeavor, but it comes with its fair share of challenges. This article delves into the journey of a real estate investor, exploring their experiences from their first property flip to managing multiple projects. One of the biggest hurdles is finding reliable and skilled contractors. However, with perseverance and a stroke of luck, a competent contractor can turn fortunes around. Firing contractors can be a difficult decision, but it is sometimes necessary to ensure the success of a project. The traditional method of paying contractors by the hour may not always be the most efficient or cost-effective approach. In real estate investment, having the right team can make all the difference. Finding lucrative investment deals is a vital skill for real estate investors. If you're eager to dive into the world of real estate investment, Cameron Academy is here to help. Our nationally recognized career education courses provide the knowledge and skills you need to succeed. Explore our wide range of courses and take the first step towards achieving your real estate investment goals.
This article reports on four housing markets projected to make a significant rebound in 2023. These markets, showing signs of growth due to factors like population growth, new job opportunities, and rising home prices, present potential investors and homebuyers with unique opportunities. Let's delve into the characteristics of these markets and the profit potential they offer. Interested in pursuing a career in real estate? Cameron Academy offers innovative and interactive online courses tailored to your needs. Take the first step towards your real estate career by enrolling in our courses. Don't miss out on the opportunity to advance your career and climb the ladder of success in the real estate industry. Explore our courses here: https://cameronacademy.com/our-courses-cameron-academy
