For Buyers | Affordability | Home Insurance | Buying Tips

When preparing to buy a home, it is natural to focus on the purchase price, down payment, and mortgage rate. But another expense can have a meaningful impact on affordability: homeowners insurance.

Insurance is part of the total cost of owning a home, and premiums have increased for many households. In a March 2026 survey, 71% of U.S. homeowners said their insurance costs had risen over the previous few years, including 42% who said those costs had increased substantially. [pewresearch.org]

Whether you are shopping in Kansas City, St. Louis, Des Moines, Omaha, Lincoln, Chicago, or a Florida community, requesting an insurance estimate early can help you build a more accurate budget and avoid surprises before closing.

Focus on the Total Monthly Housing Payment

The mortgage payment advertised in a listing or online calculator may include only principal and interest. Your actual monthly housing obligation could also include:

  • Property taxes
  • Homeowners insurance
  • Mortgage insurance, when applicable
  • Flood or wind coverage, when applicable
  • Homeowners or condominium association dues
  • Special assessments
  • Utilities
  • Maintenance and repairs

If your mortgage requires an escrow account, a portion of your property taxes and insurance premium will generally be collected with your monthly mortgage payment. Funds may also be collected at closing to establish the escrow account and pay applicable prepaid expenses.

This is why buyers should evaluate the complete estimated payment, not just the principal-and-interest amount.

Home Insurance Costs Have Increased

Higher rebuilding costs, weather-related losses, reinsurance expenses, litigation, and other market factors have contributed to rising insurance premiums.

Forbes Advisor reported that its evaluated average premium for a particular coverage profile increased from $1,582 in 2022 to $2,565 in 2025—a 62% increase. That comparison used $350,000 in dwelling coverage, $100,000 in liability coverage, and a $1,000 deductible, so it should not be treated as an estimate for every buyer or property. [forbes.com]

Published averages can also differ considerably because studies use different homes, ZIP codes, deductibles, policy limits, insurers, and risk assumptions. One 2026 analysis estimated a national average of $2,543 annually for $300,000 in dwelling coverage, while another estimated $3,548 using its own quote methodology. [moneygeek.com], [insurance.com]

The important takeaway is not any single national average. It is that the cost for the home you are considering may be very different from an online estimate.

Why Two Similar Homes May Have Different Premiums

Insurance premiums are property-specific. Two homes with similar prices—even in the same city—may receive very different quotes.

Factors that may affect the premium include:

  • ZIP code and location
  • Cost to rebuild the home
  • Roof age, material, and condition
  • Age of electrical, plumbing, and HVAC systems
  • Previous insurance claims
  • Proximity to fire protection services
  • Wind, hail, tornado, or hurricane exposure
  • Flood risk
  • Construction type
  • Security and storm-protection features
  • Coverage limits
  • Deductible amounts
  • The buyer’s insurance-based credit information, where permitted
  • Whether home and auto coverage are bundled

Homeowners insurance typically does not include flood insurance. Depending on the property, location, lender, and identified flood risk, a separate flood policy may be required or worth considering.

Why You Should Request a Quote Before Making an Offer

Many buyers wait until after an offer is accepted to begin shopping for insurance. That can create unnecessary pressure if the premium is significantly higher than expected or if the property is difficult to insure.

When possible, consider requesting an estimate before making an offer or during the earliest stage of your inspection and financing period.

An early quote may help you:

  1. Estimate the total monthly housing payment.
  2. Determine whether the home remains within your budget.
  3. Identify potential insurance concerns.
  4. Compare deductibles and coverage options.
  5. Understand whether additional flood or wind coverage may be needed.
  6. Avoid last-minute financing delays.
  7. Compare the affordability of two otherwise similar homes.

An initial estimate is not necessarily the final premium. The insurer may need additional property details or an inspection before confirming coverage and pricing.

Insurance Considerations in Each Market

Kansas City

Kansas City buyers may be comparing properties on both the Missouri and Kansas sides of the metro. Insurance costs can vary by ZIP code, county, property condition, and exposure to hail, wind, and severe storms.

Before making an offer, ask about:

  • The age and condition of the roof
  • Prior storm or insurance claims
  • Sewer or water-backup coverage
  • Basement and foundation conditions
  • Available discounts for roof or safety upgrades

A newer roof may be valuable, but buyers should verify the roofing material, installation date, available permits, and whether the improvement changes the insurance quote.

St. Louis

The St. Louis region includes older housing stock, newer suburban construction, and a wide range of municipalities. A home’s age and condition can influence the availability and cost of coverage.

Buyers considering an older home should pay particular attention to:

  • Electrical service and wiring
  • Plumbing materials
  • Roof condition
  • Foundation and basement concerns
  • Sewer-line protection
  • Water-backup coverage

A home inspection and an insurance review serve different purposes. A satisfactory inspection does not guarantee that every insurer will offer coverage at the price a buyer expects.

Des Moines

Des Moines-area homeowners may face exposure to hail, high winds, severe storms, and winter weather. Roof condition can therefore be an important part of the insurance conversation.

Buyers should ask:

  • Whether the roof is insured for replacement cost or actual cash value
  • Whether a separate wind or hail deductible applies
  • How the deductible is calculated
  • Whether updated roofing materials qualify for discounts
  • Whether water-backup coverage is included or optional

A percentage-based deductible can result in a much larger out-of-pocket cost than a flat-dollar deductible, so buyers should review the actual policy terms.

Omaha

Nebraska can be an expensive state for homeowners insurance in some national quote studies, largely because of severe-weather exposure and rebuilding costs. However, statewide averages cannot predict the premium for an individual Omaha property. [moneygeek.com], [ramseysolutions.com]

Omaha buyers should request property-specific quotes and review:

  • Wind and hail deductibles
  • Roof age and insurability
  • Prior claims
  • Basement water or sewer-backup options
  • Exterior materials
  • Replacement-cost estimates

When comparing two Omaha homes, a lower purchase price does not automatically mean a lower total payment. One property’s insurance and maintenance costs may offset part of the price difference.

Lincoln, Nebraska

Lincoln buyers should also account for Nebraska’s severe-weather risk when comparing homes. Roof condition, exterior materials, deductible structure, and claims history can meaningfully affect the quote.

If the insurance premium is higher than expected, ask the insurance professional whether the difference relates to the property, coverage amounts, deductible, claims record, or general ZIP-code risk. Understanding the reason can help determine whether shopping with another insurer or selecting a different property would be more effective.

Chicago and the Surrounding Area

Insurance considerations in the Chicago area can differ substantially by property type.

For a condominium, the master association policy generally covers certain building elements, while the buyer’s individual policy covers items identified by the policy and association documents. Buyers should review both to understand their responsibilities.

Chicago-area buyers may need to consider:

  • Individual condominium coverage
  • The association’s master policy
  • Deductible assessments
  • Loss-assessment coverage
  • Water and sewer backup
  • Frozen-pipe risks
  • Age of the building and major systems
  • Special assessments and association reserves

For single-family homes, roof condition, electrical and plumbing systems, basement exposure, and rebuilding costs may be especially relevant.

Florida Cities

Florida presents some of the most property-specific insurance conditions in the country. Costs and coverage availability can vary significantly between Miami, Fort Lauderdale, West Palm Beach, Naples, Fort Myers, Sarasota, Tampa, Orlando, Jacksonville, Tallahassee, Gainesville, Pensacola, and other coastal and inland communities.

Multiple 2026 insurance analyses ranked Florida among the country’s most expensive states for homeowners coverage, although the reported averages varied widely based on methodology and coverage assumptions. [moneygeek.com], [insurance.com]

Florida buyers should investigate:

  • Roof age, material, and condition
  • Wind-mitigation features
  • Opening protection for doors and windows
  • Flood-zone information
  • Separate flood coverage
  • Hurricane deductibles
  • Prior insurance claims
  • Electrical and plumbing updates
  • Available inspection reports
  • Condominium master coverage
  • Association deductibles
  • Potential special assessments
  • Insurer eligibility requirements

A home farther inland is not automatically free from flood, wind, or storm risk. Likewise, two condominiums in the same city may have different insurance implications based on building age, association coverage, maintenance history, reserves, and inspection findings.

Obtaining property-specific insurance information early is especially important for Florida buyers because the cost or availability of coverage may affect the buyer’s total payment and financing.

Buying Tips That May Help Control Insurance Costs

1. Compare Multiple Quotes

Premiums, deductibles, and coverage terms can vary among insurers. Request quotes using the same coverage limits and deductible assumptions so that you are making a fair comparison.

The least expensive quote is not always the best choice. Review exclusions, deductibles, replacement-cost provisions, customer-service considerations, and financial stability—not just the annual premium.

2. Ask About Bundling

Combining homeowners and auto insurance may produce a discount, but compare the total combined cost with purchasing policies separately.

3. Review Available Discounts

Ask whether savings are available for:

  • Newer roofing
  • Impact-resistant materials
  • Security systems
  • Smoke or water-leak detectors
  • Updated electrical or plumbing systems
  • Storm shutters or impact-rated openings
  • Wind-mitigation features
  • Claim-free history
  • Paying the premium in full

Discounts and eligibility vary by insurer and location.

4. Understand the Deductible

A higher deductible may reduce the premium, but it also increases the amount you could pay after a covered loss.

Ask whether the policy includes separate deductibles for:

  • Wind
  • Hail
  • Hurricanes or named storms
  • Other covered losses

Make sure you could comfortably pay the deductible from savings if a claim occurred.

5. Investigate the Roof Before Buying

An aging or damaged roof may increase the premium, limit available coverage, or make the home unacceptable to certain insurers.

Ask for documentation showing:

  • Roof age
  • Roofing material
  • Installation date
  • Contractor information
  • Permits, when applicable
  • Warranty information
  • Previous repairs or claims

Do not rely solely on a seller’s estimate of the roof’s age.

6. Review the Home’s Claims History

Past claims do not always prevent a buyer from obtaining insurance, but they may help identify recurring problems or influence pricing.

Ask the seller for available documentation, and discuss the property with your insurance professional.

7. Avoid Reducing Coverage Only to Lower the Premium

Reducing coverage can make a quote appear more affordable while leaving a significant protection gap.

Pay particular attention to the estimated cost to rebuild the home. That amount is not necessarily the same as the purchase price or market value because land value is treated differently and reconstruction after a loss can involve specialized labor, debris removal, updated building requirements, and other expenses.

8. Recheck the Mortgage Payment After Receiving the Quote

Once you receive the insurance estimate, share it with your mortgage professional. The updated premium may change the estimated monthly payment, required escrow funds, cash needed at closing, or financing qualification.

A Practical Affordability Checklist

Before committing to a property, try to obtain estimates for:

  • Principal and interest
  • Property taxes
  • Homeowners insurance
  • Flood or wind insurance, if applicable
  • Mortgage insurance, if applicable
  • HOA or condominium dues
  • Known special assessments
  • Utilities
  • Routine maintenance
  • Emergency repairs

Then ask yourself:

  • Does the total payment fit comfortably within my budget?
  • Will I still be able to save each month?
  • Do I have funds available for the deductible?
  • Can I manage maintenance and unexpected repairs?
  • Could I afford a future increase in taxes or insurance?
  • Am I preserving an adequate emergency fund after closing?

Bottom Line

Homeowners insurance is no longer a minor line item in the homebuying process. It can meaningfully affect affordability—especially in areas exposed to hail, wind, flooding, hurricanes, or high rebuilding costs.

The most important step is to request a property-specific quote early. Do not rely exclusively on statewide averages, the seller’s current premium, or a generic online calculator.

Whether you are shopping in Kansas City, St. Louis, Des Moines, Omaha, Lincoln, Chicago, or anywhere in Florida, compare the home’s complete ownership cost before making a final decision.

A real estate professional can help you evaluate the property, an insurance professional can explain coverage and pricing, and a mortgage professional can show how the premium affects your estimated payment and cash needed at closing.

Ready to build a realistic homebuying budget? Connect with a mortgage professional early to review your total estimated payment—not just the mortgage rate.

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