A new Zillow report shows over 4 out of 5 prospective home buyers consider climate risks when buying a home. Most say their major concern is flood risk, followed by wildfires, extreme temperatures, hurricanes and drought.
“Climate risks impact where most prospective buyers shop for a home,” said Zillow senior population scientist Manny Garcia. “While all generations juggle trade-offs like budget, floor plans and commute times, younger home shoppers are more likely to face another consideration: They want to know if their home will be safe from rising waters, extreme temperatures and wildfires.”
Climate risks to watch out for
A clear majority of prospective buyers in each region of the United States consider at least one climate risk when shopping. People in the West are most likely to report climate risk as very or extremely impactful in their home search, followed by those in the Northeast. On the flip side, one-third of Midwestern and Southern shoppers say climate risks are not very impactful or not at all impactful to their real estate journey.
Climate risks are a major concern for younger home shoppers. They are also the main drivers of the housing market. The median age of today’s home buyer is 39, and first-time buyers make up 50% of all buyers.
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While climate risk is affecting attitudes, it isn’t to the point where majorities of buyers are considering a move to a region they consider less risky. About half plan to remain in areas that pose the same climate risks they already face. Some are even thinking about moving to areas with more risks. Only 23% reported that they are considering homes in areas that they believe to be safer from the dangers of climate disasters.
Affordability is still the greatest hurdle for consumers, especially first-time home shoppers.
