Ohio And US Construction Costs
Insurance Information Institute: Determining Home Reconstruction Costs
FULL TEXT (Rev. 4/07)
The cost of housing continues to rise, partly because of the market price of a home and partly because of the increase in home construction costs. Below are average percentage changes for construction costs in Ohio and the US. As an example, a residential home built in 2001 for $100,000 in Ohio would cost approximately $125,700 to build in 2006 ($100,000 x 1.257, which is the factor for 25.7%).
Most insurance companies readily include an endorsement on homeowners insurance policies known as “Inflation Guard Protection,” which automatically adjusts each year the amount of insurance coverage provided on a home in accordance with similar construction cost factors. In lieu of higher construction costs, be sure to check with your insurer annually to assess your homeowner policy covereages and limits. If you make home improvements, like remodeling or adding a room, be sure to contact your insurer.
Note for US Construction Costs: Study is predicated on the following 20 major pricing areas: Atlanta, Baltimore, Birmingham, Boston, Chicago, Cincinnati, Cleveland, Dallas, Denver, Detroit, Kansas City, Los Angeles, Minneapolis, New Orleans, New York City, Philadelphia, Pittsburgh, St. Louis, San Francisco, and Seattle.
Source: Written permission was granted by the owner of the copyright, Marshall & Swift/Boeckh, prior to its reproduction in its entirety in this guide.
©2006 Marshall & Swift/Boeckh, LLC and its Licensors
|About 59% of American homes are undervalued on their insurance policies by an average of 22%, according to the research company Marshall & Swift/Boeckh.|
(Columbus Dispatch, 10/16/05)