As hurricane season approaches, many Americans may be thinking only of the usual coastal hotspots. But a new report from Cotality™ is revealing a broader and more unsettling reality — hurricane risk is no longer confined to familiar flood zones. According to the 2025 Hurricane Risk Report, more than 33 million homes across the U.S. face hurricane wind risk, with $11.7 trillion in potential reconstruction costs at stake.
Insurance Costs Are Redefining Real Estate Norms
In places once considered safe bets for homebuyers, new data shows that rising insurance premiums are now distorting the real estate landscape. Homeowners in parts of Virginia, North Carolina, and even inland-adjacent areas are seeing property values decline and listings linger longer on the market, not due to location, but because of the rising cost and dwindling availability of insurance.
For example, in Virginia Beach, homes stayed on the market 32% longer in 2025 than they did a year earlier. In Wilmington, N.C., the number jumped by 19%. What’s driving this slowdown? Buyers are increasingly factoring in not just mortgage costs, but the steep rise in premiums and the growing number of insurers reducing coverage or exiting markets altogether.
Storm Surge Flooding: A Growing Threat
The Cotality report highlights over 6.4 million properties — worth $2.2 trillion — that are at moderate or greater risk of storm surge flooding. This includes more than 656,000 homes across Charleston, Wilmington, and Virginia Beach. These aren’t just projections — they’re scenarios that could play out with each new hurricane landfall, of which the U.S. averages two per year.
What’s more concerning is that these risk zones are expanding. As Vice President of Insurance Product Marketing Maiclaire Bolton-Smith notes, “The coastline is evolving.” Hurricanes are traveling further and hitting harder, making areas once viewed as relatively low-risk increasingly vulnerable.
Risk Can Be Managed — With the Right Tools
Despite the grim statistics, the message from Cotality is one of cautious optimism. Advances in modeling technology and access to granular property data are giving insurers, lenders, and real estate professionals a clearer picture of emerging risks. That clarity can support better decision-making and help communities invest in resiliency, whether through updated building codes, strategic retreat, or smarter insurance policies.
Migration, Affordability, and the Future of Homeownership
The report also touches on migration trends, particularly in Florida, where rapid population growth in high-risk zones may outpace infrastructure updates. Without proactive risk assessments and resilience planning, these areas could face compounded losses in the event of a major storm.
Cotality’s findings are a wake-up call to anyone involved in the housing ecosystem. From lenders and insurers to real estate professionals and homeowners, understanding and adapting to these risks is no longer optional — it’s essential.
Learn More
To read the full 2025 Hurricane Risk Report and access interactive risk maps, visit cotality.com.