Looking back, 2018 will be seen as a turning point for the housing industry. Last year, we saw continued growth in remodeling and maintenance activity amid growing affordability challenges. Hurricanes intensified, while wildfires breached increasingly populated areas. These disasters led to increased catastrophe claims and even more demand for construction on new and existing structures. Meanwhile, tariffs put additional pressures on labor and materials costs, which also climbed upward last year.

These events led to an increase in affordability issues across the U.S., affecting not only larger cities but also smaller towns and less populated states. The complexities of 2018’s housing market prompted, for the first time in the last decade, a tipping point in the way homeowners and renters use land in cities. As changes to consumer behaviors impact construction patterns, it’s important for carriers to monitor property changes closely in order to maintain accurate estimates of risk on their books.