With the growing impact of natural disasters, residential real estate faces emerging challenges. A recent article from CoreLogic highlights these concerns, stating:
“As the ominous specter of climate change looms, the world anticipates unprecedented challenges. Within the realm of real estate, one significant challenge revolves around the consequences of natural catastrophes on property portfolios, homeowners, and communities.”
This may explain the increasing number of Americans, as reported by Zillow, who are now factoring in climate risks and potential natural disasters when shaping their homeownership strategies (as indicated below):
This study emphasizes the influence of climate risks on the choices people make when searching for a home. Potential homebuyers are increasingly concerned about whether the properties they desire might be vulnerable to issues like flooding, extreme heat, or wildfires.
If you find yourself in a similar situation and are contemplating your next steps, here’s crucial information to consider when embarking on your home-buying journey.
Expert Advice for Homebuyers to Mitigate Climate Risks
The initial step is to grasp how to approach buying a home while factoring in climate risks. With the right guidance and resources, you can streamline the process.
The Mortgage Reports offers the following tips for your next home purchase:
Assess climate risks: Before making a home purchase, it’s vital to determine if the property is situated in a flood-prone area, using resources like the FEMA website. Review the seller’s property disclosure for any history of damage, and conduct inspections for issues such as cracks and mold to ensure it’s a secure investment.
Consider future maintenance costs: In regions prone to tropical storms, you may need to invest in hurricane shutters and sandbags for home protection. For wildfire-prone areas, you might consider clearing vegetation near the house, installing rooftop sprinklers, or acquiring gutter guards to minimize fire risks. Account for these potential expenses when exploring homes that may require such precautions.
Safeguard your assets: Obtaining appropriate insurance for a home located in a high-risk climate area is paramount. It’s advisable to shop around and consult multiple insurance agents to compare prices and coverage options before deciding to make an offer on a home.
Above all else, your most valuable resource throughout this process is a trusted real estate expert. They will prioritize your objectives while keeping your climate-related concerns at the forefront. Even if they don’t possess all the answers regarding how a home can withstand natural disasters, they can connect you with the right specialists and information.
If you’re contemplating buying a home while also considering climate risks, you’re not alone. Your home represents a substantial investment, and any potential impacts on it are worth understanding. Connect with a real estate professional who can serve as a trusted guide in your quest to find your next home.