Conroe - Montgomery Edition | July 2023

DEVELOPMENT

REAL ESTATE

COMPILED BY CASSANDRA JENKINS & PEYTON MACKENZIE

2023 HOME EDITION

Homeowners insurance rates rise across Greater Houston area

Since 1980, adjusted for ination, there has been an upward trend of billion-dollar disasters in the U.S., which raises insurance rates. So far in 2023, 100 people nationwide have died in 12 billion-dollar events, most of which were severe storms. RECENT EVENTS

NATIONWIDE DISASTERS THAT COST AT LEAST $1B EACH Droughts Floods

BY JAKE MAGEE

Alabama or wildres in California, aect rates in Houston, he said. Since 2020, there have been over 22 U.S. disasters that cost at least $1 billion in insurance claims, Moore said. One of those events was Winter Storm Uri, which hit Texas in February 2021. “That was a multiple-billion-dollar event that happened,” Moore said. Insurance companies raise rates nationally to make up these losses, Moore said. Also contributing to the Greater Houston area’s rising homeowners insurance rates is the area’s proximity to the Gulf Coast. Being close to the coast makes the area high-risk with a higher amount of claims, Moore said. A handful of insurers have entered the Greater Houston area market only to leave because its proximity to the coast makes it hard to be protable, he said. “Companies are losing millions and

Severe storms

Tropical cyclones

Wild res

Winter storms

A recent exodus of insurance companies from the Greater Houston area combined with an upward trend in nationwide disasters has led home- owners insurance rates to increase. Cass Moore, owner of his own Goosehead Insurance agency in The Woodlands, said rates for homeowners insurance have increased by 22% on average this year. Mortgage lenders require homeowners to have home- owners insurance to cover repairs or reconstruction in the event of a disaster, such as a re or storm, that damages a home. “Nationally, rates are increasing at an unprecedented amount,” Moore said. And it’s not over yet. Rates are likely to climb again next year before hope- fully stabilizing in 2025, Moore said. Rising insurance rates locally are a reection of wider trends. National disasters, such as tornadoes in

BENTWOOD FARMS Bentwood Farms in Montgomery broke ground in early June and will feature 1-acre homesites, open space, a jogging trail and a pond. Builder Gary Hutton, from Partners in Building, said homes will start at $1.1 million and range from 3,500 to 8,000 square feet. Space: 36 lots Timeline: June 2023-TBD CASSANDRA JENKINSCOMMUNITY IMPACT

THE FLATS AT HOOPER HILL The Flats at Hooper Hill is a 158-unit complex in Conroe opening in September, said Leslie Mazzocco, director of marketing and communications at Promark Partners. The property will oer a resort-style pool, a tness center, a clubhouse, a dog park, an outdoor kitchen, a repit and a children’s play area. Space: 158 units Timeline: opening in September CASSANDRA JENKINSCOMMUNITY IMPACT

WATERSTONE Waterstone is a gated community in Montgomery. After opening for home sales in April 2022, Tricia Collins with K. Hovnanian said there were delays with electricity that delayed the completion of homes. The community reopened for sales in April. Collins said there are an additional 81 lots available. Space: 126 lots Timeline: sales began in April COURTESY K. HOVNANIAN

2018

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SOURCE: NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION NATIONAL CENTERS FOR ENVIRONMENTAL INFORMATIONCOMMUNITY IMPACT

*AS OF JULY 11

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millions of dollars,” Moore said. Ination and supply chain issues also play a role. Due to past shortages in lumber and other materials to rebuild houses, it costs more to insure them, Moore said.

Moore encouraged residents facing large increases in their homeowners insurance rates to shop around. Resi- dents are eligible for major discounts if they get a new roof or a home security system, Moore said.

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