Hippo Releases Fourth Annual Housepower Report

Rhea-AI Summary

Hippo (NYSE: HIPO) released its fourth annual Housepower Report on Jan 15, 2026, analyzing homeowner sentiment, maintenance, costs, and climate preparedness during 2025.

Key findings: a majority (56%) report no regret about their purchase; 57% bought previously owned homes and 51% live in homes built before 1990; 76% experienced at least one home-related financial strain in 2025; household maintenance budgeting shifted with 58% budgeting $500–$4,500 (up from 39% in 2024) and only 14% budgeting $6,501+ (down from 35% in 2024); confidence in extreme-weather preparedness fell 19% year-over-year to 32%.

Positive

• 56% of homeowners report no regrets about their purchase
• 57% of homeowners purchased previously owned homes
• 58% now budget $500–$4,500 annually for maintenance (up from 39%)
• Gen Z adoption: 76% purchased at least one insurance rider

Negative

• 76% experienced at least one home-related financial strain in 2025
• Confidence in extreme-weather preparedness fell 19% year-over-year to 32%
• Share budgeting $6,501+ dropped from 35% to 14%, signaling tightened reserves
• 57% said they did not prioritize home maintenance enough in 2025

Key Figures

DORA deadline: January 17, 2025 DORA enforcement: January 2025

2 metrics

DORA deadline January 17, 2025 EU Digital Operational Resilience Act compliance cutoff

DORA enforcement January 2025 Stated enforcement timing requiring extensive system reviews

Market Reality Check

Price: $30.54 Vol: Volume 109,264 is below 2...

low vol

$30.54 Last Close

Volume Volume 109,264 is below 20-day average 160,865 (relative volume 0.68). low

Technical Price $30.47 is trading above 200-day MA at $29.80.

Peers on Argus

HIPO gained 0.66% with peers mostly higher (e.g., BOW +1.77%, UFCS +1.11%, SAFT ...

HIPO gained 0.66% with peers mostly higher (e.g., BOW +1.77%, UFCS +1.11%, SAFT +1.01%, PRA +0.17%) and one laggard UVE -0.37%, suggesting mostly stock-specific conditions with a generally firm sector backdrop.

Historical Context

5 past events · Latest: Nov 05 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 05	Q3 2025 earnings	Positive	+5.5%	Strong Q3 results with sharp profitability turnaround and improved underwriting metrics.
Oct 16	Earnings date notice	Neutral	-4.9%	Announcement of timing and access details for upcoming Q3 2025 results.
Sep 30	CDO appointment	Positive	+2.0%	Hiring proven data and AI leader to advance analytics-driven risk management.
Sep 16	Board appointments	Positive	-0.8%	Addition of seasoned insurance leaders to strengthen board and committees.
Aug 18	IR head appointment	Positive	+2.7%	New Head of Investor Relations to deepen market communication and outreach.

Pattern Detected

Recent news has generally produced positive price reactions, especially around strong earnings and strategic leadership moves, with only one mild divergence on board changes.

Recent Company History

Over the past six months, Hippo has reported a major turnaround in Q3 2025, with net income of $98.1M and revenue of $120.6M, which drove a 5.46% gain after earnings on Nov 5, 2025. Earlier, management strengthened data and governance capabilities through key executive and board appointments, and added an experienced Head of Investor Relations. This backdrop of improving fundamentals and governance forms the context for today’s industry-focused regulatory announcement.

Market Pulse Summary

This announcement centers on global operational resilience regulations, notably the EU’s DORA deadli...

Analysis

This announcement centers on global operational resilience regulations, notably the EU’s DORA deadline on January 17, 2025, underscoring pressure on financial firms to strengthen risk frameworks and third-party oversight. For Hippo, it sits against a backdrop of improving profitability and enhanced data and governance capabilities from recent executive and board appointments. Investors may watch how the company communicates its preparedness for such regulations alongside future earnings and regulatory filings.

Key Terms

Digital Operational Resilience Act (DORA)

1 terms

Digital Operational Resilience Act (DORA) regulatory

"in reaction to the European Union's Digital Operational Resilience Act (DORA) and other global regulations."

A regulatory framework that requires financial firms to prepare for, withstand and quickly recover from digital disruptions by setting rules on IT risk management, incident reporting, testing and third-party service oversight. For investors, it matters because it raises standards for operational reliability and cybersecurity—similar to requiring stronger locks and emergency plans for a building—reducing the chance of costly outages, data breaches or unexpected losses that can hurt value and confidence.

AI-generated analysis. Not financial advice.

Homeowners report higher satisfaction with their home purchases, but feel increasingly strained financially and unprepared for extreme weather

SAN JOSE, Calif., Jan. 15, 2026 /PRNewswire/ -- Hippo (NYSE: HIPO), the technology-enabled insurance group, today released its fourth annual Housepower Report, which examines how homeowners are navigating affordability, maintenance, and protection amid rising costs and climate risk.

"Homeowners are feeling better about their homes than they have in years, but that sentiment is being tested by rising costs and growing gaps in preparedness," said Hippo President and CEO Rick McCathron. "As homes age and extreme weather brought by climate change intensifies, homeowners need better tools, clearer guidance, and protection plans that help them stay ahead of unexpected expenses. At Hippo, we use deep home expertise and property data to help homeowners protect their investment with insurance and proactive home care insights designed for today's risks."

Key Findings from the 2026 Housepower Report:

Homebuyer Satisfaction Continues to Increase

Homebuyer regret has declined from pandemic-era highs. While 63% of homeowners reported regret in Hippo's 2021 Housepower report, a majority today (56%) say they have no regrets about their purchase. For those who do report regret, top concerns are less about the home itself and more about ongoing costs, upkeep, and long-term maintenance responsibilities. Most plan to stay in their current home for at least five years (68%).

Affordability and location are now the top drivers of home selection. In 2025, one-third of homeowners cited staying within budget and proximity to work, school, or family as their most important factors. As buyers prioritize affordability and location, many are purchasing older homes bringing new maintenance and protection challenges.

Aging Homes Drive a Greater Maintenance Need

As more homeowners purchase older homes, maintenance demands are increasing, often faster than their ability to keep up. A majority of homeowners surveyed purchased previously owned homes (57%), and more than half (51%) were built before 1990. With the median U.S. home now 40 years old,¹ seasonal maintenance is critical to preventing costly damage.

Homeowners acknowledge they're still catching up on maintenance and upkeep to combat the risks of older homes. In 2025, 57% of homeowners said they did not prioritize home maintenance enough. Commonly overlooked maintenance tasks include HVAC servicing (71%), plumbing checks (69%), gutter cleaning (69%), and inspecting seals in areas prone to water damage (75%).

Home issues are also shifting inward. In 2025, the most common home problems were plumbing (34%), appliance breakdowns (32%), and critical system failures (23%).

In 2026, homeowners plan to be more hands-on. More than eight in 10 homeowners intend to take on DIY maintenance, with many hoping to save money (57%), gain a sense of personal accomplishment (36%), and maintain greater control over projects (30%). But only 34% of homeowners report being able to complete basic DIY projects with some confidence. While many homeowners plan to take on more DIY work, low confidence levels suggest this shift is driven more by financial pressure than preference.

Homeownership Costs Are Straining Budgets

Home-related costs posed a significant strain on household budgets, with 76% of responding homeowners reporting that at least one home-related issue impacted their financial stability in 2025. Gen Z felt the strain most, with 85% facing financial instability tied to homeownership, compared to 67% of Baby Boomers. Unexpected repairs alone impacted 33% of homeowners.

Maintenance budgets are tightening. The share of homeowners budgeting $500-$4,500 annually increased to 58% in 2025 (up from 39% in 2024), while those budgeting $6,501 or more dropped from 35% in 2024 to 14% in 2025. Nearly one in five homeowners (18%) reported not budgeting for maintenance at all, roughly double last year's figure.

Shrinking budgets may reflect homeowners taking on more maintenance themselves, but may also point to broader cost-of-living pressures causing homeowners to divert funds elsewhere.²

Homeowners Feel Less Prepared for Extreme Weather

Preparedness remains a concern as homeowners face increasing weather-related risks. Exposure to heat waves (34%), strong winds or tornadoes (27%), and cold weather or frost (24%) continues to rise. Yet only 32% of homeowners say they feel confident in their ability to prepare for extreme weather events, which is a 19% decline from 2024.

Homeowners who reported more confidence in extreme weather preparedness were more likely to have purchased add-on insurance coverage, or an insurance rider (66%). Gen Z leads adoption, with 76% purchasing at least one rider. Millennials follow with 68%, while Gen Xers (59%) and Boomers (49%) trail behind. The most common insurance riders include replacement cost coverage, flood insurance, and water backup or sump pump overflow protection.

What Homeowners Are Prioritizing in 2026

Looking ahead, homeowners cite rising maintenance and repair costs (36%), home upgrades (34%), and home insurance and protection plans (24%) as their top concerns. As homeowners look to balance coverage and affordability, nearly 50% plan to use AI to research and better understand insurance options.  

These priorities are reflected in the advice homeowners would give to prospective homebuyers. Half (50%) stress the importance of budgeting for regular maintenance and unexpected repairs, while 35% recommend researching financing options and ways to manage mortgage payments.

¹According to the National Association of Home Builders.

²According to the United States Census Bureau.

Resources for Homeowners in 2026

Hippo helps homeowners navigate homeownership with confidence through protection plans and proactive tools, offering personalized maintenance checklists, home health insights, and home improvement and policy recommendations available in the Hippo Home app.

Company Resources:

• 2026 Housepower Report: Insights into the homeowner experience in 2025, plus trends and priorities for homeownership in 2026.
• 2026 Housepower Guide: Homeowner tips and seasonal checklists informed by data from this year's Housepower Report.
• Hippo Blog: Data-driven insights, company updates, and the latest trends shaping the future of homeowning and building.
• Hippo Learn Center: Homeowner guides to simplify insurance for everything in the home and around it.

About Hippo
Hippo is a technology-enabled insurance group. The Hippo Homeowners Insurance Program applies deep industry expertise and advanced underwriting to deliver proactive, tailored insurance for homeowners. Hippo Holdings Inc. subsidiaries include Hippo Insurance Services, Spinnaker Insurance Company, Spinnaker Specialty Insurance Company, and Wingsail Insurance Company. Hippo Insurance Services is a licensed property casualty insurance agent with products underwritten by various affiliated and unaffiliated insurance companies. For more information, please visit http://www.hippo.com.

Methodology

The survey was completed on September 22, 2025, and conducted by Centiment on behalf of Hippo Insurance Services, Inc. The results are based on 1,619 completed surveys. In order to qualify, respondents were screened to be residents of the United States, over 18 years of age, and own a home. Data is census-balanced, and the margin of error is approximately ±2% for the overall sample with a 95% confidence level.

The MOE and confidence level for data filtered by specific demographics (subgroups) may differ from the overall result. Because these subgroups are naturally smaller than the total sample, they may have a larger margin of error than the ±2% for the full data set.

Media Contact
Courtney Klosterman
Director of Communications
cklosterman@hippo.com 

FAQ

What did Hippo's Jan 15, 2026 Housepower Report say about homeowner regret for HIPO?

The report found 56% of homeowners say they have no regrets about their purchase.

How did maintenance budgeting change in 2025 according to Hippo (HIPO)?

Budgeting of $500–$4,500 rose to 58% in 2025 from 39% in 2024; budgets >$6,500 fell to 14%.

What did the Housepower Report report about climate preparedness for homeowners (HIPO)?

Only 32% of homeowners felt confident preparing for extreme weather, a 19% decline from 2024.

Which home issues were most common in 2025 per Hippo's HIPO report?

Most common problems were plumbing (34%), appliance breakdowns (32%), and critical system failures (23%).

How are homeowners planning to research insurance choices according to Hippo (HIPO)?

Nearly 50% of homeowners plan to use AI to research and better understand insurance options.