(ABC 6 NEWS) -- It's been more than a year and a half since floodwaters devastated parts of southeast Minnesota.

A small town in Winona County was hit especially hard and now residents fear it may turn into a ghost town.

Families in the town of Elba have permanently moved out and now demolition work is underway on those vacant homes.

But what does that mean for the people that still call it home?

It's been an emotional week in the town of Elba, as many watched buildings like this being torn down, leaving empty lots all across town.

"I think it's very sad, and it's a shame. We're going to be almost a ghost town you know with everything gone," Betsy Birneg.

Eight properties in a town of 200 are in the process of being demolished.

Betsy Birneg says walking her dog through town will never feel the same.

"You don't see people to talk to along the way because it's gone," Birneg says.

The government bought out homes and businesses after devastating floodwaters ripped through town in 2007.

The empty lots will be used for green space or parking lots.

"There’s a house here and another house here," says Dick Hildebrand.

Dick Hildebrand owns a local restaurant and says with fewer people living in town, he's afraid his taxes will go up.

"The people that are left and the businesses that are left have to pick up the tax lag for ones that are leaving," says Hildebrand.

Elba mayor Ben Dorman says and he's not sure if residents could pay any more taxes than they are now.

"It'll be just kind of a cost to the city, but what can you do," says Ben Dorman.

As the town faces challenges ahead, some tell us they have no plans to leave.

"This is home.  I like it in the valley," Birneg says.

They say they'll do what they can to help each other out.

The mayor says the rubble will be cleared by May, and many tell us that's when all of this emptiness will start to sink in.