California House Prices Plunge Up to $400k as Insurance Crisis Deepens
A three-bedroom home in Sonoma's Wine Country, California, dropped over $400,000 in price due to insurance crisis. Crestbrook Insurance Co. stopping renewals adds to statewide challenges, affecting property values.
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In California, a luxurious three-bedroom home in Sonoma's Wine Country saw a significant price drop of over $400,000 after struggling to attract buyers for over a month. This reduction coincides with Crestbrook Insurance Co. ceasing policy renewals, exacerbating the state's insurance crisis. The property, initially listed for $3,098,000, is now priced at $2,695,000, the lowest in three years. The insurance turmoil in California, with companies like Crestbrook withdrawing coverage, has left homeowners with limited options, pushing some to the state's insurer of last resort, the FAIR Plan, which offers higher premiums and limited coverage. The heightened risk of wildfires due to climate change is contributing to increased insurance premiums and making it challenging for homeowners to secure affordable coverage. The situation reflects the broader challenges in California's housing market, where insurance issues are impacting property prices and market dynamics.
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3 commentsThat's almost disgusting.
TLDR (in my estimation)
Better homes are nearer trees and hills.
I used to joke that the splendid homes in the Saratoga hills had a view of the industrialized valley, whereas valley dwellers had a view of the splendid Saratoga hills.
The article focuses on such homes, and insurer Crestbrook, “which cater(s) to wealthy clients.”
However, the smaller number of remaining insurers will no doubt affect everyone.
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