In Florida, insurance costs can account for over 40% of a homeowner's monthly mortgage payment. According to Insurify, the average U.S. homeowner spends $21,084 per year on expenses beyond the mortgage, while in Florida, those costs are even higher, averaging $27,132 annually.
The insurance-to-mortgage ratio compares monthly homeowners and flood insurance premiums to a fixed monthly principal-and-interest payment. In most U.S. housing markets, insurance costs account for just 2% to 5% of a homeowner's monthly mortgage payment, but in Florida's highest-risk metro areas, that figure can exceed 40%.
This trend may have implications for Calgary buyers, sellers, or investors considering properties in Florida. As insurance costs continue to rise, it's essential to factor these expenses into the overall affordability of a home.
Source: News