What happened: A recent Redfin analysis indicated that several Americans are moving to high climate-risk locations experiencing severe wildfire, heat, drought, and flood in search of affordable housing. The analysis is based on data from the First Street Foundation that assigns the following climate-risk categories to properties — minimal, minor, moderate, major, severe, and extreme. What the numbers say: Americans moving to most flood-prone U.S. counties reached 383,656, more than doubling from two years ago (188,533). Americans moving into counties vulnerable to wildfires and heat also increased by 51% and 17%, respectively. Lee County in Florida, which includes Fort Myers and Cape Coral, saw a significant influx of 60,000 people marking a 65% rise compared to two years ago.
Relevance: Redfin's chief economist, Daryl Fairweather, said the combination of remote work, low mortgage rates, and high home prices drove Americans to relocate to the Sun Belt region. Analytics firm Climate Alpha predicted home values in disaster-prone areas would increase at a slower-than-expected pace as natural disasters intensify and insurance becomes expensive. |
