Climate Concerns Continue to Sway Homebuyer Decisions
Climate concerns and rising insurance premiums are changing the way homebuyers think and ultimately where they choose to put down roots. According to a recent survey from home insurance provider Kin, 93% of American homeowners expect their homes to be impacted by extreme weather events over the next three years, and 49% say they are considering moving to avoid these threats.
As the events become more commonplace, insurance premiums are only continuing to rise, with 82% of homeowners expecting their insurance costs to go up in 2026.
Home prices are rising, and insurance premiums are continuing to rise alongside them
Home prices have grown steadily over the past 14 years, and in 2026, 80% of Americans say they expect this trend to persist. However, rising costs have only been made worse by growing insurance premiums. Between 2021 and 2024, home insurance premiums increased by 24%, and many expect that figure will grow over the next year.
In 2026, 43% of American homeowners expect their home insurance premiums to increase by 1% to 5%. Because of this anticipated growth, 31% of those surveyed say they aren’t confident they’ll be able to maintain adequate home insurance coverage throughout the year, and 19% of those surveyed say they plan to switch providers because of rising costs.
To escape rising costs—and the potential for a natural disaster—Americans are moving
While some are looking to switch providers, some homeowners are looking to relocate entirely to avoid added costs. Of those considering moving, 25% say they would move to another state, but more commonly, homeowners are choosing to move locally to neighborhoods that would be less vulnerable to natural disasters. Moving locally was the case for 41% of homeowners surveyed, and 35% say they would consider moving within their state.
Some states are being avoided as potential relocation hubs due to the likelihood of natural disaster
Some states have been deemed less desirable due to their high level of climate risk. Florida and California are the most common states homeowners say they would avoid moving to because of extreme weather risks, according ot a respective 58% and 52% of survey respondents. Hawaii followed behind at 24%, Louisiana at 22%, and then Texas and Alaska, both at 21%.