Homeowners may be feeling the impact of climate disasters on their insurance premiums, but are buyers modifying their behavior and performing deep research into climate risks during their home searches? Not for very long, it appears, per data shared by Redfin.
Redfin listings separate climate risks into five categories: floods, fire, wind, extreme heat and air health. Then, it assesses how high the risk level is for the property in those five categories. According to Redfin, its users browsing California home listings clicked on the climate-risk section only 4.2% of the time in the 90 days leading up to the Los Angeles wildfires. Following those wildfires, this number moved up gradually and peaked at 7.8% on Jan. 12, before sliding back down to the pre-wildfire number where it remains.
(As Redfin notes, a click’s metrics are based on listing location, not user location, so California data shows everyone browsing California real estate listings on the portal even if they aren’t in California.)
Despite climate change being projected to drive homebuyer migrations in decades to come, California Regional MLS (CRMLS) is reportedly exerting pressure for portals to remove data on extreme weather risks. While Redfin partner Zillow has done so, Redfin has affirmed to RISMedia it is not changing its climate risk listing display. In a provided statement, Redfin Chief Economist Daryl Fairweather said about Redfin’s climate policy:
“Redfin will continue to provide the best-possible estimates of the risks of fires, floods and storms. Homebuyers want to know, because losing a home in a catastrophe is heartbreaking, and insuring against these risks is getting more and more expensive. Every home is different and no model is perfect, so if sellers believe the information is inaccurate for their listing, they can ask Redfin to remove it.”
Relatedly, the Redfin report also said the phenomenon of rising and then falling interest in climate risk played out with Florida’s hurricane season in 2024. During Hurricane Helene and the subsequent Hurricane Milton in late September and October 2024, Redfin user interest in climate risk data ultimately doubled with a peak of a 16.3% clickthrough rate on Oct. 7. After hurricane season passed, the rate fell back to its pre-hurricane season rate of about 8%.
“Humans often have short memories when it comes to natural disasters. A major fire or storm can jolt homebuyers into paying attention to climate risk because the event feels fresh and likely to happen again, but this urgency is fleeting,” said Fairweather in included comments. Fairweather characterized the aftermath of such disasters as “a small but crucial window” for local leaders to educate citizens about disaster risks and preparedness, and said that homeowners must think of natural disasters as an “ongoing risk” necessitating planning ahead.
National rates echo the statewide ones; more Redfin users click on a listing’s climate risk section when there’s a climate disaster happening. During the LA fires, the national clickthrough rate on listings’ climate risk section moved up from 3.5% to 3.9%, then back down again. While this low average could indicate low concern from buyers, Redfin notes in the report that the statistic could be deceiving: users might find that the climate display on the listing provides sufficient information, and so not feel compelled to specifically click on it.
Across the 50 states and Washington, D.C., Mississippi and Louisiana are the two states where Redfin users show the most interest in listings’ climate risks, with clickthrough rates of 9.6% and 9.2%, respectively. These two states also rank as the most vulnerable in the Climate Vulnerability index maintained by the Environmental Defense Fund and Texas A&M University. For instance, in New Orleans, Louisiana, 99.1% of homes face a high flood risk.
Jason Gale, a New Orleans-based Redfin Premier agent, was quoted in the report talking about his experience of climate-related costs deterring buyers: “A lot of homebuyers have backed out of deals because they couldn’t find insurance that fit their budget. It’s critical that buyers find lenders that understand the nuance of their market because you don’t want to end up in a situation where your lender quotes you $150 a month for insurance and the actual cost ends up being $500.”
For the full Redfin report, click here.
