WEST PALM BEACH, Fla. — A new report indicates insurance costs are slowing down condo prices in Florida.
Redfin is reporting new data shows the rising cost of insurance is driving up HOA fees, slowing demand and lowering prices.
"Redfin agents report that Florida's condo sales are slow because the cost of buying a condo has shot up, and listings are skyrocketing because the cost of owning a condo has shot up," reads a release from the firm.
"What I can tell you is that we see softening prices in the condo market," attorney Jim Brown with New Path Title in West Palm Beach said.
Brown said there are several factors affecting condos now including new requirements on inspections and insurance.
"A good portion of it could be insurance. Insurance breaks down into two pieces ... the direct insurance and the reinsurance," Brown said. "The reinsurance is the big piece that's kind of a mystery right now."
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Earlier this month, condo insurer Castle Key cited more frequent severe storms, high repair costs and reinsurance in seeking a rate increase.
Click here to read the Redfin report.
If you have any questions or issues with homeowners insurance, email WPTV reporter Matt Sczesny at matt.sczesny@wptv.com