Folks that build in flood plains not only cost themselves extra money, they also cost their communities and neighbors extra money by having to pay for common services repairs to roads, utilities, first responders, safety services, etc. A poor decision by one home owner building in a flood plain can become an unnecessary cost to others.
Nearly every town partially extends into "flood plains"; regardless of definition. One way or another, some people are going to get wet if enough water ends up in the place.
Developments are planted, cities expand... One guy building a house doesn't affect much. If those lands were walled right off from construction, everything else would crank in price.
Likewise, some of the best views come from less desirable areas. I just got back from a new development that endured the second highest water in my lifetime. They're back out there finishing the houses.
Nothing was damaged beyond reasonable repair. They were elevated properly and constructed to withstand the abuse. Adjacent developments have been surviving that same stuff just fine for a century.
It floods, people leave, and people come back later without a hitch to continue on. If it weren't for that vista, they'd be living somewhere else, bringing their money and activities somewhere else.
Now, there is absolutely land out there that's not worth building on. It will cost much more than you're saving, and there's nothing nice to look at. There is also low-value land that's more susceptible to flooding than average that's a fine deal.
I'm selling a piece of property right now that was under about three feet of water during Matthew. Had FEMA check it out, re-certified the septic system (an updated wetland survey as well as soil and function tests), verified everything else of note, and even managed to get down there at the height of the flood to make sure there were places to park a car safely.
Someone will be paying about $12,000 for an acre with no bothersome neighbors, away from the college, with everything already run and a functional septic system already installed, in a development that's been around since the 1960's, and with a pile of paper and photographs backing up every single relevant note.
If they follow the rules, whatever they build out there will be perfectly fine.
It's not all black and white. Floods don't automatically equal a destroyed life. In the right places, with the right knowledge and practices, a flood can simply be a temporary inconvenience.
