How to address rising home insurance costs and taxes

[Yacine Bouabba]

How does everybody address the rising home insurance cost and taxes? I live in Houston Texas and because it's a hurricane city insurance costs have been going up 40 to 50% every year for the past few years. Home appraisals have been going up too making it more and more difficult for the rental properties to cash flow. Just curious to see what expert investors are doing to address this issue. Thank you.

[John Clark]

Quote from @Yacine Bouabba:

How does everybody address the rising home insurance cost and taxes? I live in Houston Texas and because it's a hurricane city insurance costs have been going up 40 to 50% every year for the past few years. Home appraisals have been going up too making it more and more difficult for the rental properties to cash flow. Just curious to see what expert investors are doing to address this issue. Thank you.

Get down to brass tacks: Your investment model does not account for the line item expense increases you are seeing. Your question needs to be line item adjustments, then tactical adjustments, then strategy adjustments.

Don’t invest in Florida if your models are that sensitive to a fact-denying, politics- worshipping climate model.