Most US Homeowners Fear Climate Change Hazards

As the effects of climate change become more palpable, a growing majority of American homeowners are becoming increasingly anxious about weather hazards. According to a recent survey commissioned by LendingTree in February 2021 involving nearly 2,000 homeowners across America, over half (51%) expressed concern about climate change-related risks such as coastal flooding, wildfires, hurricanes, severe storms and rising sea levels. 

Interestingly enough, approximately 40% reported that their neighborhoods were already bearing witness to these hazards. With this escalating threat in mind, some homeowners have taken drastic measures – around 13% have relocated to areas or homes with lower risk profiles while another third are contemplating making similar moves. 

The survey also revealed that the fear of these hazards has deterred around 17% from purchasing specific homes. Moreover, for an astounding 42%, climate-related risks top the list when it comes to choosing a home.  

A significant portion of those surveyed worry that these challenges will negatively impact property values within the next decade – one quarter overall and notably higher percentages among millennials (38%), parents with children under age eighteen (36%), and men (32%). Conversely though - exhibiting perhaps optimism or denial - just over half believe that climate change risks will not affect property values at all. 

Nevertheless, there's no denying increased storm activity and rising sea levels pose considerable concerns for coastal homeowners; almost half expect their properties' value to decline yet remain livable whereas another worrying fraction fears their homes may eventually be rendered uninhabitable. Only a mere fifteen percent feel optimistic about their properties remaining unaffected long-term. 

When asked what concerned them most amongst potential disasters due to global warming: increasing severity and frequency of severe storms topped the list at twenty-four percent followed closely by hurricanes and flooding which tied at fourteen percent each. 

Homeowners appear willing however-to pay a premium for peace-of-mind; fifty-seven percent would be happy paying more for homes less exposed to climatic risks.  

Rob Bhatt, LendingTree's home insurance expert, advises homeowners to take active steps in minimizing potential damage from natural disasters such as investing in wind- and hail-resistant roofs and windows. However, if these measures do not sufficiently alleviate concerns then relocation might be the best option. 

Rising insurance costs are another major concern; over one-fifth of homeowners have seen their premiums increase due to climate change with a staggering seventy percent anticipating future hikes. This is particularly true for areas that have experienced multiple disasters within short spans making insurance more expensive and harder to obtain. 

This trend has been observed in populous states like California, Texas, Florida as well as disaster-prone regions like Oklahoma and Colorado according to Bhatt. High insurance rates could eventually limit affordability for properties since home insurance payments are typically incorporated into monthly mortgage escrow payments. 

Over a third of homeowners fear being dropped by their insurers – twenty-three percent worry this could happen within the next decade alone. As such additional coverage has become increasingly common - thirty-eight percent have purchased extra protection with flood insurances topping the list at seventeen percent. 

Bhatt reminds prospective buyers about accounting for potential flood, windstorm and wildfire risks when choosing homes lest they end up paying higher-than-expected premiums or even worse find themselves inadequately insured during catastrophes which can lead to financial ruin. 

LendingTree suggests using resources like FEMA's National Risk Index when house hunting so you can assess an area’s risk profile regarding specific disasters thereby enabling you to make informed decisions while also factoring climate-related hazards into your property budgeting plans.