Not a day goes by without a stark reminder that the housing affordability crisis extends far beyond rising home prices, skyrocketing mortgage rates, and the limited inventory of quality listings. Recent headlines underscore a growing, yet often overlooked, threat: The soaring cost of property insurance. In cities like Houston and Selma, Alabama, the escalating premiums are not just numbers on a bill — they are barriers preventing low-income families from securing safe, affordable homes.

Similarly, in California, devastating wildfires have pushed insurance companies to withdraw from high-risk areas, leaving residents vulnerable and uninsured.

Amidst these challenges, transparency emerges as a vital tool for homebuyers, builders, and insurers alike. Clear, honest communication about pricing, coverage options, and the realities of the insurance landscape can build trust and provide much-needed clarity in an increasingly uncertain market.

Homebuilders can leverage transparency as a strategic tool to build trust with buyers, especially in a digital-first environment. For insight we talked with Mark Tribendis, Vice President of Business Development at Westwood Insurance Agency, and explored the intersection of transparency, customer care, and technology in today's homebuying process.

The Evolving Role of Transparency

In the volatile housing market of 2024, the demand for transparency from homebuyers has never been higher. With economic uncertainty, environmental risks, and the escalating costs of both homes and insurance, buyers need clear and accurate information to make informed decisions. Transparency in pricing, the buying process, and communication about what buyers can expect at each stage has become essential.

Tribendis emphasizes that transparency is crucial for building trust, particularly in a digital-first environment.

Building trust through transparent communication during the homebuying process is absolutely essential for our organization. We need those strong relationships to inspire confidence and drive success not only for buyers, but also for our builder partners," he says.

At Westwood Insurance Agency, this commitment to transparency has been foundational to their long-standing success. For homebuilders, this means that clear, honest communication isn't just a nice-to-have; it's a strategic imperative that can differentiate them in a crowded and competitive market.

A McKinsey & Co. analysis further supports this view, noting that customer care leaders are now shifting their priorities to not only focus on customer experience but also on revenue goals and technology transformation. This shift reflects the increasing expectation that customer care functions, including in the homebuying sector, must deliver both efficiency and personalized service. For homebuilders, the ability to combine transparency with technology-driven efficiency is key to meeting these rising expectations.

Blending Digital Tools with Human Interaction

As the homebuying process has become increasingly digital, the need for human interaction remains critical. While digital tools can enhance efficiency and streamline processes, they cannot replace the trust and confidence that comes from human touchpoints, especially when discussing complex topics like insurance.

Tribendis points out that Westwood Insurance Agency effectively balances digital efficiency with human touch to enhance the customer experience.

One of the things Westwood does great is we still have personal interaction, that human touch, which is very important in the homebuying process, especially during these digital times. The human factor is huge in building trust throughout the homebuying journey, and it's something we prioritize alongside our digital systems," he explains.

This balance is crucial in an era where customers across all generations, including digital natives like Gen Z, still value live phone interactions, according to McKinsey's survey. Even as AI and digital channels become more integrated into customer care, the preference for direct, personal interaction remains strong.

Leaders agree that they need to get digital right. More than half of the respondents to our survey expect the share of inbound contacts that take place through digital channels to exceed 40 percent in the next three years. But despite this shift, customers across all generations, including digital natives like Gen Z, still value live phone interactions. This underscores the importance of maintaining human touchpoints in customer care, especially when dealing with complex or high-stakes issues." – McKinsey & Co.

High-performing companies are already integrating advanced AI tools to enhance customer service, but this digital evolution should complement, not replace, transparent and responsive human interaction. For homebuilders, this means leveraging technology to provide clear, accurate information while maintaining the personal connections that build trust and confidence.

Addressing Pain Points through Transparency

One of the most significant pain points for homebuyers today is the surprise of unexpected costs, particularly around home insurance premiums and coverage. As Tribendis notes, transparency from the outset can provide relief and confidence to buyers, enhancing their overall experience.

When our builder partners offer our quotes and competitive rates, I think buyers are pleasantly surprised. It gives them a lot of confidence moving into the rest of the homebuying journey," he says.

This transparency is not just about avoiding unpleasant surprises; it's about building a relationship of trust. As McKinsey's analysis points out, as customer expectations rise, particularly with the adoption of AI in customer care, transparency becomes even more critical. Customers expect clear, honest communication, whether interacting with AI systems or human agents. For homebuilders, ensuring that all touchpoints—whether digital or personal—deliver consistent, transparent information is key to meeting these expectations.

The Strategic Importance of Customer Care

In today's market, transparent communication is more than just a customer service tactic; it's a strategic tool that can build trust and confidence, which are essential for a positive homebuying experience. Tribendis emphasizes that transparency is a key element in fostering long-term relationships with both buyers and builder partners.

Transparent communication includes us sharing information, being honest, and being authentic. Our sales agents are crystal clear in their communication regarding pricing, the buying process, and what homebuyers can expect throughout that journey. We provide a seamless experience," he says.

The McKinsey analysis echoes this sentiment, highlighting the growing importance of upskilling customer care teams to handle complex queries and deliver excellent service. In a world where technology is rapidly changing the landscape of customer care, companies that prioritize transparent, effective communication will be better positioned to build lasting trust and loyalty with their customers.

The Broader Implications

As climate risks and insurance challenges continue to reshape the housing market, transparency becomes even more critical. Homebuilders must not only navigate these complexities themselves but also help their customers understand and manage them. This requires a commitment to clear, honest communication at every stage of the homebuying process.

The future of customer care — and by extension, the homebuying process — will be shaped by the balance of advanced technology and human interaction. As AI and digital tools become more integrated, homebuilders must ensure that transparency remains at the core of this balance. By doing so, they can build trust, meet rising customer expectations, and maintain a competitive advantage in an increasingly challenging market.

In the turbulent homebuying landscape of 2024 and 2025, transparency is more than just a buzzword — it's a strategic necessity. For homebuilders, this means not only providing clear, honest communication but also leveraging technology to enhance efficiency and build trust. As economic and environmental pressures continue to mount, those who prioritize transparency will be best positioned to navigate the complexities of today's market and build lasting relationships with their customers.