New Hippo Report Reveals Homeownership Challenges in 2022

Rhea-AI Summary

Hippo (NYSE: HIPO) released its 2022 Housepower Report, revealing that 78% of U.S. homeowners regret their purchases, primarily due to unexpected costs and maintenance. A significant 67% reported negative impacts on mental health from homeownership issues. The report highlights the need for proactive home maintenance, with only 1% of homeowners completing all recommended tasks. In 2022, homeowners spent nearly $6,000 on repairs but delayed many due to economic concerns. Hippo aims to empower homeowners with tools and resources for better home care through its mobile app and services.

Positive

• Hippo customers have access to a mobile app offering a Home Health Assessment and maintenance checklists.
• The survey reinforces Hippo's message about the importance of proactive home maintenance.

Negative

• 78% of homeowners reported regrets about purchasing their homes in the last 12 months.
• Financial pressures have led 64% of homeowners to delay necessary maintenance.
• 59% of homeowners faced unexpected issues, adversely affecting their mental health and relationships.

Despite Challenges, Homeowners Recognize the Increasing Importance of Proactive Care

PALO ALTO, Calif.--(BUSINESS WIRE)-- Hippo (NYSE: HIPO), the home insurance group focused on proactive protection, today announced findings from its 2022 Hippo Housepower Report, a national survey of over 1,000 U.S. homeowners revealing that a year of growing economic and financial instability took a toll on homeowners and their well-being.

“2022 was a big year for homeowners, managing unexpected issues alongside rising prices and other external factors,” said Hippo President and CEO Rick McCathron. “However, of the homeowners we surveyed, two-thirds who experienced a problem with their homes say that it could’ve been prevented with regular maintenance. With the right tools, homeowners can feel the Housepower, the confidence and control to tackle anything homeownership brings.”

Homeownership Difficulties: 78% of respondents (U.S. homeowners) have had regrets about purchasing their homes within the last 12 months. Of those that have regrets:

• 49% say homeownership is more expensive than they anticipated
• 47% say that they have had too many unexpected issues with their home
• 47% say there is too much maintenance and upkeep involved
• 46% say that they compromised on things they really wanted for their home

This is felt even more heavily by pandemic buyers -- those who eagerly bought a home during the pandemic regret their purchase more than others (87% vs. 73%).

More than half of homeowners also had something unexpected go wrong (59%), and/or believe homeownership was more difficult than anticipated in the past 12 months (68%).

Impact Beyond the House: Of those homeowners who experienced an unexpected issue:

• 67% say that it negatively impacted their mental health
• 63% say that it negatively impacted their relationship with their partner(s)
• 66% say that it negatively impacted their children
• 80% say that it negatively impacted their job

External Factors: Escalating factors caused homeowners to put certain tasks on the backburner this year. Higher prices for gas cut into home project funds for over half of homeowners (54%), and two-thirds of homeowners (64%) concerned with inflation rates say it caused them to delay maintenance. Nearly 40% of those with financial concerns delayed repairs after losing money in the crypto crash, and 52% of homeowners with financial concerns are holding out on home improvements due to recession concerns.

2023 is the year to take back ownership: On average, homeowners spent nearly $6,000 on home repairs and maintenance in 2022. However, few are doing enough ongoing home maintenance tasks. Less than 1% of survey respondents addressed all necessary home maintenance tasks such as clearing tree limbs and cleaning appliance filters within the time frame recommended by Hippo Home Care. Yet, the majority of those who experienced a problem in their homes recognize that it could’ve been prevented with proactive maintenance and/or regular inspections (65%).

Hippo customers have complimentary access to the Hippo mobile app, which includes a Home Health Assessment, a detailed Home Check-up with a Hippo Home Care expert, a personalized checklist of preventive maintenance tasks, and ongoing access to Hippo Home Care pros for advice on how to address issues. All homeowners can download the Hippo Housepower guide on the Hippo blog to learn how to quickly identify specific issues and take action before small issues turn into bigger problems.

To learn more about Hippo’s proactive approach to home protection, visit: http://www.hippo.com.

Methodology

This survey was conducted by Kickstand Communications on behalf of Hippo Insurance Services. Fielded between October 22-28, 2022, the results are based on 1,002 respondents. To qualify, respondents were screened to be residents of the United States, 25 to 75 years of age, and currently own a home. Research was conducted at 95% confidence with +/- 3% margin of error.

About Hippo

Hippo is protecting the joy of homeownership, helping to safeguard customers’ most important financial asset by harnessing the power of real-time data, smart home technology, and a growing suite of home services to deliver proactive home protection.

Hippo Holdings Inc. operating subsidiaries include Hippo Insurance Services, Hippo Home Care, First Connect Insurance Services, Spinnaker Insurance Company, Spinnaker Specialty Insurance Company, and Mainsail Insurance Company. Hippo Insurance Services is a licensed property casualty insurance agent with products underwritten by various affiliated and unaffiliated insurance companies. For more information, including licensing details, visit http://www.hippo.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221213005395/en/

Hippo

Courtney Klosterman

Press@hippo.com

Source: Hippo

FAQ

What did Hippo's 2022 Housepower Report reveal about homeowner regrets?

The report found that 78% of homeowners regret their purchases, mainly due to unexpected costs and maintenance.

How many homeowners reported delaying maintenance due to inflation?

64% of homeowners cited inflation as a reason for delaying maintenance.

What financial impact did homeowners face according to the Hippo report?

Homeowners spent nearly $6,000 on repairs in 2022, with many delaying necessary home maintenance.

How does Hippo support homeowners in managing home maintenance?

Hippo provides a mobile app that includes maintenance checklists, expert consultations, and Home Health Assessments.

What percentage of homeowners experienced unexpected issues in 2022?

59% of homeowners faced unexpected issues with their homes during the year.