Regardless of whether they believe climate change is real, 69% of homeowners took the phenomenon into account when buying a home. That’s according to a new study by Clever Offers, which also found that nearly the same 68% view homeownership as riskier today than 10 years ago due to climate change and natural disasters.

Few states are immune to natural disasters, from wildfires in the West and blizzards in the North to hurricanes in the Southeast and tornadoes in the Midwest. The threat of flooding is nearly everywhere — Texas, North Carolina, Illinois, and New Mexico have all seen record-breaking flood events in 2025.

As weather-related events increase, so do insurance premiums, putting an already-expensive home purchase further out of reach for many. Some cities and states are seeing insurers pull out altogether, leaving homeowners scrambling for protection.

“In the housing market, climate risk is now in the same category as location and price,” said Arif Gasilov, partner of sustainability and ESG at Gasilov Group.

Where Americans Won’t (and Will) Buy

According to the survey, 35% of potential buyers have ruled out a place to live due to climate or disaster risks. Forty percent of this group would avoid buying in California, 36% in Florida, and 21% in Texas.

“Climate risk is no longer an afterthought in the eyes of buyers,” said Doug Van Soest, a real estate agent and owner of SoCal Home Buyers in California. “It is becoming a deal breaker.”

Joy Aumann, co-founder of LuxurySoCalRealty, is seeing the same thing in the San Diego area, as her clients are becoming more discerning about how climate factors influence their lifestyle and property value. Some clients are choosing properties slightly inland rather than on the beach for greater security and lower insurance premiums, she said.

Also, buyers now consider fire-resistant materials and water-saving landscaping to be essential features. California has seen more than 5,500 wildfires and over 16,000 structures destroyed as of late August.

“For many, resilience has become a key component of luxury, ensuring peace of mind in an increasingly unpredictable climate landscape,” Aumann said.

More than half of Americans say Florida and California are the states most at-risk of climate change or natural disasters, so it’s not surprising that they’d avoid living in either place. However, locations that buyers might not consider at-risk are also being impacted by extreme weather events.

For instance, North Carolina’s coast has seen at least five floods of a lifetime in the last 25 years, and the state also sees hurricanes, wildfires, and winter storms. In 2024, North Carolina experienced nine billion-dollar disasters, yet only 9% of those surveyed would avoid buying a home there.

Buyers see New Hampshire as the lowest risk for climate concerns, with other New England states like Massachusetts, Delaware, Connecticut, and Vermont also considered safe. However, Vermont has experienced three consecutive years of severe flooding, highlighting the need for buyers everywhere to ask about their risks.

The Insurance Factor

Rising homeowners’ insurance costs are another factor affecting where people choose to live, with 79% saying they wouldn’t buy a home in a high-risk area if insurance were far more expensive than in other parts of the state. This is troubling for homeowners, who may need to look for alternative ways to sell in the coming years, such as to a cash buyer.

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“Insurance is becoming as influential as location, schools, or commute time,” said Michelle Youshock, Head of Personal Lines at World Insurance Associates. “People want homes and communities that are resilient, insurable, and financially stable.”

According to LendingTree, home insurance has risen 40.4% across the U.S. over the last six years. It rose 11.4% in 2024, the highest jump. Montana and Nebraska saw the most significant year-over-year increases at 22.1% — two states that most Americans don’t consider risky.

Annually, home insurance costs an average of $5,912 in Nebraska, which is 111% higher than the U.S. average of $2,801. Nebraska is prone to tornadoes, hail, and flooding, with the state seeing 12 billion-dollar weather events so far this decade. Rather than making minor repairs after such events, more people are having to rebuild completely, driving up insurance prices.

“For some, the cost of insurance is higher than their property taxes or even their mortgage,” Youshock said.

As the impacts of climate change continue to grow, Youshock said insurers will also evolve. Premiums will increase, underwriting will tighten, and more private insurers will withdraw from high-risk areas. This will increase the reliance on public insurance programs and government-backed solutions.

For instance, California’s FAIR Plan, which provides basic fire insurance coverage for high-risk properties that can’t otherwise get coverage, has seen enrollment steadily rise. As of June, 590,642 homeowners had policies, a nearly 31% increase over September 2024.

Expectations for the Next Decade

Worsening weather events and rising insurance costs could have dire consequences for the real estate market. A recent report by First Street Foundation found that climate-related risks could cause home values to plunge $1.47 trillion over the next 30 years, a consideration for owners planning to sell their homes.

According to First Street, insurance premiums will likely increase by an average of 29.4% by 2055, as 55 million people relocate due to climate-related events during the same timeframe. The organization expects 5 million people to relocate this year.

These expectations align with homeowners’ outlook for the next decade. About 34% of survey respondents believe people will move away from coastal or flood-prone areas over the next 10 years, and the same number expect more homes to be built with climate-resilient features.

Ryan Fitzgerald, owner of Raleigh Realty in North Carolina, said he’s already seeing homebuyers prioritize properties with elevated foundations and robust drainage systems to mitigate flood risks. Texas realtor Eric Bramlett, who owns Bramlett Partners, echoes this, saying homebuyers are scrutinizing flood maps and looking for homes equipped with backup power systems and energy-efficient cooling solutions.

“The conversation has evolved from aesthetic appeal to long-term resilience, reflecting a broader awareness of climate impacts on property value and livability,” Fitzgerald said.

What Buyers and Owners Can Do Now

Risk mitigation is crucial for both current homeowners and prospective buyers — regardless of where they live. For instance, look for areas with reliable infrastructure and factor in short- and long-term climate projections for that city or state.

“Looking ahead, I expect that this risk-oriented buying behavior will continue as climate impacts accelerate,” said Gilbert Michaud, an assistant professor of environmental policy at Loyola University Chicago. “Climate resilience may be as important to home value as location and nearby amenities.”

Insurance agents can suggest ways to make a home more disaster-resistant, such as reinforcing the roof or adding storm shutters. These changes could also reduce home insurance costs and add to the property’s resale value, so document any upgrades.

Buyers should consider all the costs of homeownership, not just the monthly mortgage. Factor in insurance premiums and potential repair costs should the home be damaged, as well as additional housing expenses should the property become temporarily unlivable. Bottom line: prepare for the worst-case scenario.