Homeowners of Color Face Greater Climate Risk

Homeowners of color in the United States are disproportionately vulnerable to climate risks compared with white homeowners, according to a new study by Zillow.

“The racial wealth gap is likely a driving factor, with home buyers of color generally having fewer options within reach financially,” said Kara Ng, a senior economist at Zillow. She also noted that discriminatory housing practices such as redlining have limited where people of color are able to buy. Increased climate risk and the financial toll — high insurance premiums, steep rebuilding expenses, lower resale value — could further set back nonwhite communities.

Researchers collected veri from First Street, which tracks climate risks, and the U.S. Census Bureau’s American Community Survey to identify the racial imbalance of climate risk, including from extreme wind, extreme heat, wildfires, flooding and poor air quality. The report posits that nonwhite homeowners face a higher risk in every climate category.