While the southeastern United States had not yet recovered from the devastation caused by Helene, Milton unleashed his anger on the Florida coast. This is nothing new for those living in this corner of the planet, but climate change is working against them by raising ocean temperatures and water levels.

This unstoppable and silent progress is causing the value of luxury homes and mansions along the coast to plummet.

Climate change blurs the shores. ‘A study’First National Flood Risk Assessment‘ The resolution, prepared by First Street, proposes a new reclassification of the value of waterfront properties, reducing them by between 5% and 10% of their current value. The forecast model justifies this reduction because 14.6 million coastal properties are at risk of potential flooding and the risk will increase by 10% over the next 30 years.

These coastal locations are often filled with high-value homes due to their proximity to the sea. This may be your main enemy. Considering that the first results of the greenhouse effect appear on the coasts, it seems that this value has started to decrease.

A mansion on the front line is no longer a good idea. As stated in an article written by CNBCThe rise in sea level due to global warming has reduced the value of luxury mansions located near the beaches due to the increased risk of storms that destroyed the first homes located at sea, as happened earlier in Dana Point (California). liner

Local newspaper Nantucket Current It collects testimony of a buying operation in which a $2.3 million beach house on Nantucket Island off the coast of Boston eventually sold for $600,000 due to the apparent advance of the sea. “The house is incredible. The location is incredible. The price also reduces the risk greatly. I would like to think it will last a long time, but I am acutely aware of the risk that any storms could cause problems for me in the future,” said the buyer. .

It is also clearly seen in Spain. You don’t need to go to coasts constantly hit by hurricanes to see the effects of climate change on the coasts. During Storm Nelson last March, beaches on the Catalan coast were severely affected, destroying beaches and causing serious damage. This phenomenon is becoming more and more frequent.

The General Coastal Regulation states that a certain distance must be observed for construction in front of the shore and that this can prevent the devaluation of new construction. However, those already built may decline in value due to coastal degradation and the risk of flooding.

Damages from climate disasters are increasing. In addition to flooding and coastal degradation, climate disasters such as hurricanes and wildfires are severely impacting homes in some of the regions with the highest influx of millionaires, such as Florida and California.

This increase in natural disasters is causing insurance premiums to skyrocket, and some U.S. insurance companies are directly ceasing operations in areas affected by hurricanes or prone to major fires. According to Mark Friedlander, director of corporate communications at the Insurance Information Institute, to the news portal news week, “Homeowners in Florida already pay the highest insurance premiums in the country. Homeowners in the state paid an average of $11,163 in annual premiums as of July 2024, when the U.S. national average was $2,435 per year.”

This means that houses located by the sea or in areas with a high risk of natural disasters (big fire, etc.) will both lose their value and their annual expenses will increase due to the increase in insurance premiums.

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Image | Unsplash (Sindy Süßengut)