On September 1, 2021, Hurricane Ida made landfall in New York, heavily impacting the Tri-State area with devastating winds and rain. With up to 3.1 inches of rain in Central Park within just one hour, the National Weather Service issued a flash flood emergency in New York City for the first time. Mayor Bill de Blasio declared a state of the emergency stating that New York City was “enduring a historic weather event” and urged New Yorkers to stay indoors. He also issued a travel ban until 5am the following day as cars had been abandoned on the roads and subway service became extremely limited. With severe flooding, power outages, and damage, New York City was declared a Federal Disaster Area.
The impact of Hurricane Ida greatly impacted the real estate closing world. Closings scheduled for the day after the hurricane were adjourned, further delaying fundings. Furthermore, many lenders required an appraisal reinspection or federal disaster area affidavit affirming from both buyer and seller that the premises had not been impacted by the storm. These additional assurances have become essential in obtaining clearance and funding approval from our lenders.
For potential homeowners, it is important to remain in communication with their loan officers, as well as their attorneys, to ensure that no additional inspections or affirmations are required for loan clearance as delays in this process would further delay the closing of the transaction.
The Adam Leitman Bailey, P.C. Banking Department has been working closely with all of its major lender clients, ensuring that the appropriate steps and measures are taken, and getting all closings to the finish line in accordance with the banking requirements.
Rosemary Liuzzo Mohamed and Amy Chen of Adam Leitman Bailey, P.C.’s Banking Department ensure the continued success for all of their clients, especially through these more difficult times.