WhatGFC,
I agree with you that what governments(esp.local governments), developers and real-estate agents do is highly immoral; but I'm not going to argue whether or not it is legal, that is something else altogether.
However, when it come to the buying of house and land, it has always been a case of "buyer beware".
Three hard and fast rules that every buyer should know:
(pardon me for shouting)
NEVER TRUST A REAL-ESTATE AGENT.
NEVER TRUST A REAL-ESTATE AGENT.
NEVER TRUST A REAL-ESTATE AGENT.
A buyer has two choices to make: Sloth; or, Diligence
If they choose sloth, then they will get burnt; or, in your case, flooded.
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