More than 80% of home shoppers consider climate risks when looking for a new home
- 83% of prospective buyers consider at least one climate risk when shopping for a home
- 54% of all home buyers are millennials and Gen Z shoppers who are more likely to consider climate risks
- 49% of buyers find climate risks very or extremely impactful
- 27% of buyers are considering moving to areas with more climate risks
- None.
Floods, fires and extreme weather are reshaping how people view climate risk and real estate
- A clear majority of people in each region of
the United States consider at least one climate risk when shopping for a home. - A majority of today's buyers are millennial and Gen Z shoppers, and they are more likely than other generations to consider a climate risk when deciding where to buy a home.
"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."
A clear majority of prospective buyers in each region of
Total | Midwest | Northeast | South | West | |
Share of prospective buyers who | 83 % | 77 % | 85 % | 79 % | 90 % |
Share of buyers who said climate | |||||
Very/extremely impactful | 49 % | 42 % | 50 % | 43 % | 59 % |
Not at all/not very impactful | 28 % | 34 % | 27 % | 33 % | 20 % |
Climate risks are a major concern for younger home shoppers, who are driving the market. The median age of today's home buyer is 39, and first-time buyers make up
Total | Gen Z | Millennial | Gen X (Ages | Boomers & the | |
Share of prospective buyers who | 83 % | 84 % | 86 % | 82 % | 70 % |
Share of buyers who | |||||
Flood | 41 % | 36 % | 42 % | 41 % | 44 % |
Extreme temperatures | 37 % | 37 % | 44 % | 30 % | 26 %77 |
Wildfires | 37 % | 39 % | 37 % | 36 % | 37 % |
Hurricane | 33 % | 33 % | 36 % | 30 % | 22 % |
Drought | 31 % | 30 % | 35 % | 27 % | 23 % |
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
Compared to where they live now, prospective buyers are considering | Total |
Fewer climate risks | 23 % |
More climate risks | 27 % |
The same climate risks | 49 % |
Affordability is still the greatest hurdle for consumers, especially first-time home shoppers, who tend to accept what they can afford. It takes nearly 12 years for a typical first-time buyer to save up for a down payment. Zillow home listings display down payment assistance, and a new app filter helps shoppers understand their actual monthly mortgage cost rather than a home's list price. Working with a knowledgeable real estate professional is a great way to navigate both the affordability hurdle and climate challenges in today's home shopping search. Zillow also publishes industry-leading research to help inform consumers, increase transparency and shape the conversation in real estate.
Zillow's forthcoming Consumer Housing Trends Report survey of buyers is slated to be published this fall. The study was fielded between April and July 2023 and surveyed nearly 12,000 prospective buyers. The full report will include a detailed summary of the climate research, as well as broader trends.
About Zillow Group
Zillow Group, Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life's next chapter. As the most visited real estate website in
Zillow Group's affiliates and subsidiaries include Zillow®; Zillow Premier Agent®; Zillow Home Loans™; Trulia®; Out East®; StreetEasy®; HotPads®; and ShowingTime+™, which houses ShowingTime®, Bridge Interactive®, and dotloop®. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org).
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SOURCE Zillow
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