This Florida Metro is the foreclosure capital of the United States – This is behind the crisis
A metropolitan area in Florida has attracted attention as a leader in a specific U.S. housing category, but that's not why it's going to be cheered on.
According to real estate data companies, the state's Lakeland area has the highest foreclosure in the metropolitan area in 2024, with at least 200,000 residents. One out of every 172 homes has foreclosure.
Many factors that could lead to this number—including the influx of population—but a common subject matter expert pointed out the price of home insurance.
Real estate agent Bob Miller told News Channel 8 in a March 27 story that when those premiums started to start, they couldn’t pay, they just didn’t know what to do. “So many of them lack better terms, they curl a little in a ball, they're waiting in a corner for someone to knock on the door. It's not the best option.”
This is behind the high insurance rates and what steps can be taken to protect your home no matter where you are.
Florida is prone to natural disasters, including hurricanes, floods and wildfires, mainly because this insurance price is the highest in the United States.
According to Bankrate, Floridians charge an average annual fee of $5,292, worth $300,000. That's two and a half times the national average of $2,267.
Major home insurance providers such as Advance, AAA and Farmer Insurance have already engaged in certain businesses, as the state's operating costs have become increasingly high for many insurers.
In 2024, Mark Friedlander of the Insurance Information Institute told Miami CBS News that an internal study found that 15 to 20% of Floridians are giving up home insurance, compared with 12% nationwide.
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But some real estate experts say the state’s high insurance rates don’t tell the full story behind Lakeland’s foreclosure. Gate Arty, principal and co-owner of Keller Williams Realty, acknowledged the impact of insurance premiums, but he did not believe Lakeland had a foreclosure problem.
