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What Rising Rates and Surging Insurance Prices Are Doing to Real Estate
Odd Lots
Why is insurance surging everywhere?
Insurance rates are surging due to multiple factors such as the drying up of reinsurance market, increased reluctance to take risks, and more natural disasters. The availability of insurance has decreased, leading to higher costs for companies. Additionally, large developers like Howard Hughes do benefit from a diversification discount, but overall there is not enough supply to meet the demand.
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