Greg Cooper J.D.
April 17, 2023
The commercial property insurance crisis is causing havoc in the real estate industry, with skyrocketing premiums and limited options for coverage. Real estate players are calling for lending reform and government support to alleviate the pressure on the market.
As a digital multifamily brokerage and advisory firm, Offerd understands the challenges faced by property owners, developers, and managers. With premiums increasing by an average of 9.4% nationwide and even more dramatically in states like Texas, Florida, and California, it's time for a change.
Industry insiders are pushing for lenders to adjust their insurance requirements, urging them to reconsider the need for 100% property coverage. State governments could also establish programs to support multifamily owners, similar to Florida's Citizens Property Insurance Corp.
At Offerd, we believe it's crucial for real estate companies to adapt and explore innovative insurance solutions. By taking on more risk themselves, lowering limits, and increasing deductibles, businesses can better navigate the current insurance landscape.
It's time to prioritize insurance costs during the acquisition process and work closely with insurers to find the most suitable coverage. Real estate companies must adopt a more methodical, thoughtful approach to insurance, focusing on long-term success in today's challenging market.
Don't let the insurance crisis hold back your real estate ventures. Get in touch with Offerd today to explore the best insurance options for your multifamily properties. Let us help you navigate this complex landscape and secure the coverage you need to thrive.