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79 March 2025 J O U R N A L March 2025 » will voluntarily relocate within the United States to areas less vulnerable to climate risks by 2055, starting with 5.2 million in 2025. • Divergent growth trajectories across neighborhoods: The report iden- tifies five distinct neighborhood trajectories in climate migration and insurance increases: Climate Abandonment (26% of census tracts), Risky Growth (31%), Tipping Point (27%), Economic Decline (11%), and Climate Resilient (5%). • Economic vitality versus climate risk tradeoff: The report indicates that economic strength alone may not be sufficient to retain popula- tion in areas facing severe climate impacts, as evidenced by projected "tipping points" in some currently growing metropolitan areas. • Widespread climate-driven prop- erty devaluation: By 2055, 70,026 neighborhoods (84% of all census tracts) may experience some form of negative property value impacts from climate risk, totaling $1.47 tril- lion in net property value losses due to insurance pressures and shifting consumer demand. Impact on Property Values "Climate change is no longer a the- oretical concern; it is a measurable force reshaping real estate markets and region- al economies across the United States," said Dr. Jeremy Porter, Head of Climate Implications Research at First Street. "Our findings highlight the urgent need to un- derstand how rising insurance costs and population movements are transforming the economic geography of the nation." "Property Prices in Peril" under- scores a divergence in property values: high-risk areas are likely to experi- ence significant devaluation, while regions perceived as climate-resilient are poised to benefit from increased demand. This reallocation of economic activity will have profound implications for local government revenues, with at- risk areas facing reductions in property tax income, while more resilient areas stand to gain. "These results highlight not only the pressing challenges, but also the opportunities for adaptation and inno- vation in the face of climate change," said Matthew Eby, Founder and CEO of First Street. "Policymakers, busi- nesses, and communities must act now to mitigate risks and capitalize on the emerging economic opportunities in a shifting landscape.