70% Of Florida Homeowners Faced Insurance Hikes Or Changes
It’s not easy being a homeowner in the Sunshine State. Over the last few years, home prices have skyrocketed and storms have caused insurance costs to spike. A new survey shows 70% of Florida homeowners have experienced insurance hikes or changes in coverage within the past year.
The new survey was conducted by Redfin and Qualtrics back in February 2024 for both Florida and California residents. It was sent out to over 2,900 homeowners and renters in the U.S.
The survey says, “12% of Florida respondents who have faced insurance changes have been dropped by their insurance company—an increasingly common trend as insurers back out of flood-prone areas.”
They continue with, “34% of real estate agents in the U.S.—and 73% in Florida—have seen an increase in insurance-related issues in the past year.”
What Is Redfin Saying ABout Florida Homeowners Seeing Insurance Rate Hikes & Changes?
Florida has been one of the best and worst states to own a home in the last few years. The average price for a home in Florida has risen by about $150,000 since 2020. So, if you bought pre-2020, you made a great investment, but rising costs might change that.
Chief Economist for Redfin, Daryl Fairweather, said, “Homeowners living in areas where insurance premiums are surging are at risk of seeing their properties gain less value than homeowners in areas with stable premiums—and in some cases, they may even lose money.”
On average, 1 in 8 Florida homeowners who took place in this survey have said that their insurance company stopped offering coverage on their home. As insurance companies stop covering certain weather-related events, more Florida homeowners are worried they will be dropped in the near future.
With more and more companies pulling out of Florida, the limited options remaining are seeing home insurance rates jump by over 50% with some providers. Brokers say it is a mix of severe weather-related events, rises in repair costs, and reinsurance premiums jumping. When there are less insurance companies covering these disasters, the remaining companies also hike up rates – simple supply and demand.
To view the entire data set for this survey on Florida homeowners, click visit Redfin.com.
Top 5 Places To Live Near The Beach In Florida Without Breaking The Bank
Jacksonville
According to our source, the median cost of a home in Jacksonville is about $293,000, which is well below the national average. You can even find 1-bedrooom apartments for around $1,200/month. Jacksonville was also named one of the best cities to live in the south. Plus, there are plenty of job opportunities.
Cape Coral
Cape Coral is going to be one of the most affordable cities in southwest Florida. Bonus perk is that it has one of the lowest crime rates in the state. It’s also known for its many canals and gorgeous landscapes. According to Property Club, the median home price here is $391,000, which is just below the national average.
