A tip on how to lower your home insurance costs

Get your sea legs ready!

͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌  No images? Click here February 24, 2024 • Issue #130 Happy Saturday! This week, we’re sharing a move that could lower your homeowners insurance costs and taking a peek at a house with nautical themes.

Want to lower your homeowner's insurance?

Money, Getty Images If you bought or are planning to buy your home by taking out a mortgage, you know there’s one thing you absolutely must have: Homeowners insurance. Your lender requires it because they need to know their money is safe if something happens to the property. Even if you don't have a mortgage, it’s not a bad idea to have insurance so you know your investment is safe. But home insurance costs have soared over the past few years. On a national level, they increased by 35% between May 2022 and May 2023, with another 12% increase expected this year. In some states, however, insurance costs skyrocketed by more than 60% over the past two years. (I’m talking about you, Florida.) Now, most homeowners who take out a mortgage roll the cost of homeowners insurance into the loan. Every time you make a monthly mortgage payment, it goes into an escrow account from which you pay the loan principal, interest, insurance and property taxes. Whenever your insurance costs go up, your monthly mortgage payment will also increase because you must pay more for the policy (the same thing happens with property taxes). So, even if you have a fixed-rate mortgage with “predictable” monthly payments, you could find yourself paying several hundred dollars more just to cover the increases in homeowners insurance that we’ve seen recently. But there is a way to potentially avoid having those big increases — or at least minimize their impact on your monthly payments. According to Travis Hodges, managing director at VIU by HUB, a digital insurance brokerage, you can shop around to “find a better value” even if you have included your insurance in the mortgage. “You still have the option, and you still have the choice to find a better insurance value, whether you pay it into an escrow account or directly,” Hodges tells me. So, if you’ve rolled your homeowners insurance into your mortgage and are seeing your monthly payments increase to the point where they’re no longer affordable, remember the old saying: It pays to shop around. That includes shopping around for a new insurance policy.

How to Find Affordable Homeowners Insurance in a Tough Market

7 Best Homeowners Insurance Companies of February 2024

Money Move of the Week

Ease your tax worries despite IRS pressure Many taxpayers are facing the daunting task of settling a debt with the IRS. If you’re dealing with back taxes exceeding $10,000, these programs could help. With offerings that include 100% money-back guarantees, stellar A+ BBB ratings, and complimentary consultations, there’s no reason to wait. Check out Money’s list of the Best Tax Relief Companies. The information provided in this email is for educational purposes only and is not intended as financial or tax advice.

Listing of the week

Steve Burgraff Photography Ahoy, Mateys! Welcome aboard this three-bedroom, two-and-three-quarters bathroom home with a nautical inspiration in Redlands, California. From the fishing net decor and ship’s anchor to the tiki hut and sculpture of a crusty old sailor, this home is ready for some high-seas adventures — on land. You can still get wet, though: there’s plenty of space for some water fun with your crew in the outdoor pool. All three bedrooms have access to the outdoors, and there are also several marine-themed outbuildings perfect for storing extra cargo, er, furniture (or anything else that needs storing). For a little more peace and quiet, you can relax near the koi pond or have a glass of wine in the Japanese-style garden. The home is listed by Jan Hudson of Hudson Realty for a salty $1.2 million. Landlubbers welcome! Steve Burgraff Photography

’Til next time, P.S. Have you seen a unique listing on social media I should feature in this newsletter? Or have a question about housing or mortgages you desperately want answered? Let me know on Twitter at @LeslieLCook or via email at leslie@money.com. P.P.S. Have a friend who loves real estate or is looking for a home of their own? Please forward them this email or send them to the Money Moves subscription page.

Money’s Essential Home Buying Resources: Winter

On the hunt? Check out Money’s Mortgage Calculator, list of The Best Mortgage Lenders and look at the latest mortgage rates. Thinking of refinancing? Our list of The Best Mortgage Refinance Companies can help. You can also use our Mortgage Refinance Calculator or these refi tips. Key question: How much house can I afford?

This newsletter is free because Money earns a commission when you click or make purchases from the links in this email and on our site. We also receive compensation for some of the products and services featured in this message. Offers may be subject to change without notice. Learn more about how we make money. Privacy Policy • Advertise With Us • We're Hiring! To stop receiving these emails, unsubscribe or manage your email preferences. Copyright ©2024 Money Group, LLC. All rights reserved. Metro Office Park Calle 1, Building 7 Suite 204, Guaynabo, Puerto Rico 00968, USA