Homeownership is becoming an increasingly expensive endeavor in the United States. The average cost of homeowners insurance has soared to $1,915 per year. This figure is based on a 40-year-old homeowner with good credit and $300,000 worth of coverage. However, the cost varies significantly across states.
Oklahoma, Texas, and Nebraska top the list of the most expensive states for homeowners insurance, with annual rates of $5,495, $4,400, and $4,135, respectively. In contrast, Hawaii, Delaware, and Vermont offer the cheapest rates at $515, $860, and $870 per year.
- Average homeowners insurance cost in the US: $1,915/year
- Most expensive states: Oklahoma ($5,495), Texas ($4,400), Nebraska ($4,135)
- Cheapest states: Hawaii ($515), Delaware ($860), Vermont ($870)
- Median monthly mortgage payment: $2,894 in May, a new record high
Adding to the financial burden, the median monthly mortgage payment hit a record high of $2,894 in May. Homeownership is not just about buying a house; it’s about affording the ongoing costs that come with it. The rising insurance rates and mortgage payments make it clear that owning a home in the US is becoming a luxury that fewer can afford. This trend highlights the growing financial strain on American homeowners and raises concerns about the long-term sustainability of the housing market.
— Diana Bee (@LoveAndMagick) May 24, 2024