ST. PETERSBURG, Fla. - Sea level rise could cause home values in Florida to drop, according to a new report out in January.
Researchers and consultants with the McKinsey Global Institute released a climate risk and response report, which found the changing climate could have a ripple effect in Florida’s real estate market.
Some homeowners who live near the coast in Pinellas County told FOX 13 it does not take a hurricane for them to experience flooding.
“I've had water inside my house twice. It comes up into the yard at least three or four times a month,” said homeowner Kimberlee Stansel, who has lived in her Shore Acres home for 30 years.
She said her neighborhood deals with rising tides all the time.
“People oftentimes want to know have they fixed the problem out here with the drainage, and it's not the drainage because we're only about 5 feet above sea level,” said Stansel. “So, it's not ever going to be a drainage issue. It's that we're never going to get higher unless we put our houses up higher.”
The report found the real estate market is at risk, adding that coastal homes dealing with flooding could lose up to 15% of their value in the next 10 years and up to 35% by 2050.
Some homeowners said that won’t keep people from moving here.
“Nobody else is going to make any more of this land, and people are always going to want to be here,” said homeowner Tee Grizzard. “So whatever that value is at that time if I decide to make my move, markets fluctuate up and down.
Potential home values could not only go down, but the report also said property tax revenue for communities could drop, too.
And some neighbors worry sea levels could force insurance rates to go up.
“I think there's going to a lot of watchful waiting and looking at the insurance rates to see what's going to happen to those. It's probably going to have a huge impact on the values out here,” said Stansel.
The report said Florida will have to plan how to adapt. Some cities in South Florida are building sea walls, but the report said it will take more to protect flood-prone homes.