BiggerPockets Daily

The Secondary Costs of Homeownership That's Weighing Down Investors

8 snips
Aug 27, 2025
As mortgage relief from a Fed rate cut looms, the reality of rising costs hits hard. Insurance premiums and construction expenses are skyrocketing, complicating affordability for investors and homeowners alike. Tariffs are driving up construction bills, adding tens of thousands to projects. Meanwhile, landlords face the challenge of passing these costs onto tenants in a fragile rental market. With energy bills also surging, staying informed about local and national trends is essential for navigating this financial landscape.
Ask episode
AI Snips
Chapters
Transcript
Episode notes
INSIGHT

Rate Cuts Aren't Enough

  • Mortgage rate cuts help but only address half the affordability problem.
  • Secondary ownership costs like insurance, utilities, and maintenance are rising and still squeeze owners and investors.
INSIGHT

Hidden Costs Match Mortgage Pain

  • Hidden homeownership costs average $1,180 per month nationwide.
  • Insurance, taxes, maintenance, and utilities now rival past mortgage payments in burden.
INSIGHT

Insurance Premiums Are Exploding

  • Insurance premiums surged 20% from 2022–2024 with more hikes expected.
  • In states like Florida, insurance can consume a huge share of household income and legislative fixes are complex.
Get the Snipd Podcast app to discover more snips from this episode
Get the app