Over 25% US Homes Face Severe Climate Risks Worth $12.7T

A new analysis by Realtor.com reveals that over one in four U.S. homes, representing $12.7 trillion in real estate value, face severe or extreme climate risks including flooding, wildfire, and hurricane winds. Flood risk, in particular, is significantly underestimated by federal agencies such as FEMA, with nearly 6 million homes valued at $3.4 trillion likely to experience severe flooding in the next 30 years, surpassing FEMA's estimates. Wind poses the greatest threat, affecting 18.3% of homes, while wildfire threatens 5.6%. These climate hazards are driving up insurance costs dramatically, especially in high-risk markets like Miami, where premiums can reach 3.7% of a home's value annually. Experts emphasize that many homeowners and buyers remain unaware of their true risk exposure due to outdated flood maps and insufficient public data, complicating housing market decisions nationwide. The findings underscore the urgent need for improved risk awareness and data transparency to better protect homeowners and inform insurance and real estate practices.