Buying a house in Hawaii is now essentially “cash-n-carry”, and that will be devastating for the housing market. Here’s why…
The economy of Hawaii has just gotten SMASHED by Insurance companies, which have ceased issuing Homeowner’s Insurance Policies for homes in lava zones.
Any home sales MUST be in CASH ONLY because banks will not grant a mortgage unless the buyer has Homeowner’s Insurance . . . which they cannot now obtain.
This is going to have a devastating effect on Hawaii’s economy starting immediately.
Worse, the entire state survives economically from TOURISM. If Tourists start realizing that TWO volcanoes on the big island of Hawaii are now active (Kilauea and now, Mauna Loa) they will likely change their travel plans, thereby gutting the Hawaiian economy.
US NAVY COMMENCES TSUNAMI EXERCISES
On May 3, after the Kilauea volcano began erupting, the Pacific Command of the US Navy at Pearl Harbor began Tsunami Drills.
It is entirely possible for the volcanic eruption at Kilauea to cause an unstable land mass known as the Hilina Slump, to fully detach from the seaward side of that volcano and slide into the Pacific.
The Hilina Slump is 10 miles by 15 miles and several miles deep. Almost 5,000 cubic MILES of dirt and rock, which is already partially detached from the volcano.
If that chunk of land slides off . . . . and it is a matter of WHEN, not “if” . . . . it will immediately cause a massive Tsunami which will wrap-around the Hawaiian Islands, with waves up to 300 meters (1,000 feet) high.
Four to five hours later, that Tsunami – although diminished – will strike the US west coast, inundating cities like San Diego and Los Angeles with 30 meter waves (99 feet), and wiping parts of those cities off the face of the earth.
A detailed story about the Hilina slump was published by Hal Turner Radio Show last week. That story is available here.