The challenges that higher costs place on carriers, regulators, lenders and consumers has been well documented this year, and the acceleration of extreme weather events has only made things worse. Extreme weather raises questions about the impact on the mortgage industry, particularly concerning homeowners who are now more vulnerable to higher insurance premiums due to increased risks.
Experts who spoke with HousingWire are concerned about further increases to insurance costs, which could threaten the financial stability of consumers and depress home sales in what has already been a challenging time for the mortgage and real estate industries. Hurricanes will only continue to exacerbate these issues.
Taylor Stork emphasized the need for the mortgage and insurance industries to rethink their strategies. He recalls how a family member in Florida strategically sold their home due to insurance availability fears, which turned out to be prudent as a hurricane struck shortly after.
Hurricane Helene's impact, coupled with the looming presence of Hurricane Milton, represents a significant threat to established norms in home insurances, particularly in areas previously seen as comparatively safe from extreme weather.
Collection
[
|
...
]