These “Subtle Risks” Could Have Astronomical Impacts on Real Estate Expenses w/John Sheffield

Owning real estate could get expensive—yes, even more expensive than it already is today. Insurance prices, property taxes, maintenance costs, and more are going through the roof, and there isn’t much stopping these costs from jumping even more. What’s accelerating the rise in these upkeep costs? Hotter summers, colder winters, and more natural disasters. Growing climate risk is making real estate deals harder and harder to pencil, and even some safer areas to invest are seeing sizable pricing upticks. 

John Sheffield from ICE brings us the latest data on the financial impacts of climate risk in this episode. When we say “climate risk,” we know what you’re thinking: hurricanes, tornadoes, and wildfires. But that doesn’t even scratch the surface of what’s causing real estate expenses to jump. Areas of the US with once-cool summers are now experiencing record-breaking heat, increasing hail damage is denting roofs and breaking windows, and flooding has become the norm. These subtle climate effects have huge implications for your bottom line. So, what should you do to secure the profit you’re looking for on your next property?

John hits on the expenses that are rising the most, the areas where home upkeep costs could almost mirror monthly mortgage payments, and what investors must do when underwriting their next deal to account for this massive jump in expenses.

In This Episode We Cover

The actual cost of climate risk and the expenses that are seeing the most significant pricing surges

Why even areas without hurricanes, fires, or tornadoes are still at significant risk 

Property tax problems and underfunded local governments that could quickly raise taxes

Insurance underpricing that could lead to even more expensive home protection

Areas where home prices could drop as a result of inflated home expenses

Where to find and track climate data so you know where (and where not) to invest 

And So Much More!

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