Flood zones are land areas identified by the Federal Emergency Management Agency (FEMA). Each flood zone describes that land area in terms of its risk of flooding. Everyone lives in a flood zone–it's just a question of whether you live in a low, moderate, or high risk area.
Risk Level Category
Flood Hazard Zone
|High Flood Risk
||AE, A, AH or AO Zone. These properties have a 1 percent chance of flooding in any year and a 26 percent chance of flooding over the life of a 30-year mortgage.
VE or V Zone. These properties also have a 1 percent chance of flooding in any year and also face hazards associated with coastal storm waves.
Insurance Note: High-risk areas are called Special Flood Hazard Areas, and flood insurance is mandatory for most mortgage holders.*
|Low or Moderate Flood Risk
||Shaded X Zone. These properties are outside the high-risk zones. The risk is reduced but not removed.
X Zone. These properties are in an area of lower risk.
Insurance Note: Lower-cost preferred rate flood insurance policies (known as Preferred Risk Policies) are often an option in these areas.