Federal Reserve: Moving Out of a Flood Zone? That May Be Risky

TL;DR: homes right outside FEMA flood zones are still highly exposed to flooding risk, but the homeowners are not required to buy flood insurance to qualify for a federal-agency-backed mortgage, leaving both homeowners and lenders to bear any losses caused by flooding beyond FEMA boundaries.

If you own a home right outside a FEMA flood zone, you can probably buy flood insurance for a lot less $$$ than homeowners inside the zone. If you can afford the premiums, do it!