Flood risks and housing shortages create tough choices for U.S. cities
A growing number of cities face a dual crisis: not enough housing and rising flood risks that threaten existing homes and future development.
Jordan Wolman, Catherine Allen and Jessie Blaeser report for POLITICO.
In short:
- A POLITICO analysis found that about 25% of large metro areas in the U.S. face both significant housing shortages and high flood risks, complicating efforts to expand affordable housing.
- Many state and local governments are pushing to increase housing supply, but outdated flood maps and rising disaster threats make it difficult to decide where to build safely.
- Insurance companies are raising rates or dropping coverage in flood-prone areas, adding financial strain for homeowners and further discouraging development in at-risk regions.
Key quote:
“There’s a very real tension between the need to substantially increase the supply of housing in many parts of this country and the concurrent need to stop putting more people and businesses in harm’s way.”
— Dave Jones, former California insurance commissioner
Why this matters:
Flooding is becoming more frequent and severe, yet housing demand continues to push people into vulnerable areas. Without stronger policies and better planning, communities risk worsening affordability crises and costly disaster recovery. Insurance gaps and outdated regulations leave many homeowners unprotected, deepening financial and environmental risks.
Learn more: Climate risks may trigger the next housing crisis
