Climate Anxiety And Insurance Hikes Are Restructuring The Nation’s Housing Map – NMP Skip to main content

Climate Anxiety And Insurance Hikes Are Restructuring The Nation’s Housing Map

Jan 16, 2026
Climate Anxiety Restructuring Buyer Habits

Climate anxiety, extreme weather, and soaring insurance premiums are driving homeowners to rethink where they live

A new homeownership trends report from Kin, a direct-to-consumer, digital home insurance and finance provider, finds that climate change concerns and rising homeownership costs are increasingly influencing where and how Americans make housing decisions. The inaugural study draws on a survey of 1,000 U.S. homeowners and extensive market data to assess emerging trends in the housing market.

The report highlights that environmental risks have become a central consideration for a significant share of homeowners.

Nearly half of respondents say they are considering relocating in 2026 due to climate-related concerns, with extreme weather risk shaping preferences for certain regions. A large majority of homeowners also expect climate-driven damage to their homes in the coming years, underscoring how environmental anxiety is translating into tangible housing choices.

Among those considering relocation due to climate concerns, a quarter are considering moving to a different state entirely. Florida (58%) and California (52%) topped the list of states that homeowners said they would avoid moving to because of extreme weather risks, followed by Hawaii (24%), Louisiana (22%), Texas (21%), and Alaska (21%).

Of those polled, 93% expressed concern about damage to their home in the next two to three years due to a changing climate. Meanwhile, 68% of those polled expect the frequency of extreme weather events in their area to increase in 2026 compared to 2025.

Rising costs associated with homeownership — particularly insurance premiums — are also cited as key factors influencing the timing and nature of buying decisions. With insurance rates having climbed sharply in recent years, many prospective buyers are weighing these financial burdens alongside traditional variables such as price and location when evaluating potential homes.

"We went through a period of economic instability, but it was driven by macroeconomic factors like inflation and interest rates that have since been absorbed," said Kin Founder and CEO Sean Harper. "Elevated inflation was one of the big drivers of premium increases last year, but inflation is now occurring at a more predictable pace. Substantial premium increases were the story in 2024, but they weren't the story in 2025 except for some places like California. And, they won't be the story in 2026."

The report cited that the average home insurance premium increased by 24% between 2021 and 2024, 11% higher than inflation over the same period, insurance costs are now a major factor in homebuying decisions. Of those polled, 49% said insurance costs weigh "very heavily" or "seriously" on their home purchasing decisions; 70% said insurance costs weighed more heavily on their decisions than they did five years ago; 31% felt they would be able to maintain adequate coverage in 2026; and 19% plan to switch home insurance providers this year.

For the study, Kin commissioned Pollfish to poll a nationally representative sample of 1,000 American adults between the ages of 18 and 65 who currently own a single-family home in the United States. Apartments, condos, mobile, and manufactured homes did not qualify as single-family homes for this particular study.

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