How Hurricanes Sweep Up Housing Markets: Evidence from Florida
A journal article examining the impact of hurricanes on housing markets and population turnover, finding that market responses to natural disasters can lead to uneven and lasting demographic changes in affected communities
This paper studies the impact of hurricanes on housing markets and population turnover using microdata from Florida during 2000–2016. We find that hurricanes cause a temporary increase in home prices and a concurrent decrease in transactions, which together imply a negative transitory shock to the housing supply. Using mortgage application data, we find that incoming homeowners in this period have higher incomes, leading to an overall shift toward wealthier groups. Our findings suggest that market responses to natural disasters can lead to uneven and lasting demographic changes in affected communities, even with a full recovery in physical capital.
Government Accountability Office
Press Release — Jan 4, 2023
After Hurricanes, Florida Neighborhoods See Steady Housing Demand, Wealthier Residents
A new peer-reviewed study finds that, between 2000 and 2016, communities hit by hurricanes see no long-term change in housing demand—but that wealthier residents move in in the years immediately following a storm.
On the Issues — Feb 23, 2024
On the Issues: Housing Policy, Dam Removals, and More
A biweekly newsletter connecting global current events, pressing climate and energy policy news, and economics research from RFF scholars. This week: housing policy, dam removals, and more.
Environmental Justice Series — Mar 6, 2024
Environmental Justice: Taking Stock of Justice40
A virtual event exploring the implementation of Justice40, the US federal government's largest environmental justice initiative