It’s not just job loss or divorce driving sellers to let go of their homes.

There’s a new villain in town: insurance premiums.

Across the country, homeowners are getting hit with surprise rate hikes, some seeing their annual premiums double or even triple.

In places like Florida, California, and Texas, carriers are pulling out of high-risk markets altogether. That leaves owners scrambling for coverage, shelling out more for less, or going uninsured altogether.

For many, that’s the final straw.

In this post, we’ll break down:

• Why insurance is becoming the hidden driver of seller urgency

• How to identify when insurance is motivating the move

• What to say to sellers feeling the pressure

• How to structure win-win deals around this often-overlooked pain point

If you’re not factoring insurance into your motivated seller strategy, you're missing one of the biggest “silent triggers” of 2025.

Why Insurance Premiums Are Spiking Nationwide

Let’s zoom out.

Over the past 3 years, we’ve seen:

• More frequent natural disasters (wildfires, floods, hurricanes)

• Higher repair and construction costs

• Increased claim volume in certain ZIPs

• Insurers raising rates to cover past losses

• Entire insurance companies going bankrupt or exiting states

That’s left millions of homeowners stuck with one or more of the following:

• Drastically higher monthly escrow payments

• Forced placement insurance from their lender (more expensive, less coverage)

• Limited or no options for coverage at all

• A looming fear that one more rate hike will put them underwater

For investors and agents, this means one thing:

Insurance frustration is motivation. You just need to learn how to spot it.

Hidden Clues a Seller Is Feeling Insurance Pain

Most sellers won’t lead with:

“I’m selling because my insurance is too expensive.”

But they will say things like:

• “Our escrow shot up again.”

• “I don’t even know if we’re covered anymore.”

• “The lender said we’re out of compliance.”

• “They canceled our policy out of nowhere.”

Watch for these red flags:

• Homes in wildfire or flood zones

• Older properties that haven’t been updated

• Recent weather events in the area

• Sellers with multiple properties (investors hit hardest)

• Past claim history that triggered new coverage limits

You can also use Goliath Data’s filters to spot homes in high-risk areas with increased churn and listing activity.

When a seller’s tone turns anxious, and their house looks fine on paper, it’s often insurance driving the urgency.

What to Say When Insurance Is the Elephant in the Room

Here’s how to bring it up naturally:

“I’ve been talking to a lot of owners lately who are getting hit hard with insurance changes, has that been happening in your area too?”

If they say yes, follow with:

“Totally get it. I’ve seen clients go from $1,800/year to $4,000+ overnight. If that’s part of why you're even considering selling, I can help you figure out some options, no pressure either way.”

You’re not offering a magic fix. You’re offering clarity and control.

That’s what they’re really missing.

Deal Structures That Work for Insurance-Stressed Sellers

Once you uncover that insurance is part of the problem, tailor your offer accordingly.

1. Fast-close cash offer (for those who can’t keep up)

These sellers just want out. They’re tired of fighting lenders and insurers.

Position it like this:

“We can close quickly, cover any back escrow or insurance issues, and make this whole thing go away within a couple weeks.”

Ideal when:

• Policy was canceled

• Lender is threatening foreclosure

• Seller is emotionally checked out

2. Creative finance (subto or wrap)

Perfect for sellers with a low-interest mortgage, but a high insurance burden.

“We’d take over payments on the loan and take care of insurance from here. You wouldn’t need to worry about rate hikes or coverage ever again.”

Bonus: You can often lock in better coverage through your investor network or commercial providers.

3. Leaseback option

For sellers who are motivated but not ready to move yet.

“We’d close now so you’re not stuck with future premium hikes, but you could lease the property back for a few months while you figure out next steps.”

This offers psychological relief and a real exit plan.

Why This Seller Type Will Grow in 2025 (and Beyond)

This isn’t a one-off trend.

It’s a long-term shift in how housing is financed, protected, and managed.

According to recent industry data:

• 70% of U.S. homeowners experienced a rate hike in the past 18 months

• In high-risk areas, average premiums are up 35%–100%

• More than 10% of sellers in hot states cited “insurance” as a reason for listing

Most agents and investors still think motivation = foreclosure, divorce, or inheritance.

But Goliath pros know:

Hidden costs = hidden urgency.

When you show up and name the pain before they do, you earn trust and win the deal.

Insurance Isn’t Just a Line Item. It’s a Deal Driver.

You’re not in the business of selling houses.

You’re in the business of solving problems.

When those problems show up in the form of $3,000 insurance bills, policy cancellations, or lender letters?

That’s your sign to lean in, listen closely, and offer relief.

Because when the numbers stop working for the seller, you’re the one who can make the math and the exit make sense again.