California real estate has seen unprecedented losses because of the Los Angeles wildfires —but even before the fires, the Golden State's housing market had taken hit after hit. Homes are staying on the market an average 46 days in California in 2024, the same as in 2023, according to Realtor.com®.

The wildfires in Los Angeles have caused unspeakable damage, heartbreak and loss of life. While the current focus is rightfully on containing the blazes and protecting residents, data from Altos Research shows an area with expensive housing,

In the wake of the fires, countless L.A. residents are displaced. Many are either left with the daunting task of finding a new place to live or requiring temporary shelter for what could be a years-long period of time until their homes are rebuilt. Unfortunately, there was already a shortage of housing in the area before the fires took hold.

With inventory reduced and fire risk increased, both home prices and insurance rates could rise in Southern California.

Douglas McIntyre, editor-in-chief at Climate Crisis, discussed the devastating impact of the LA wildfires on the local real estate market. Burned areas are expected to remain uninhabitable for years,

California will spend $2.5 billion to help the Los Angeles area recover from wildfires

And 2020’s fires were far less severe than the horrific ones we’ve recently witnessed in the Los Angeles area. We get wildfires nearly every year, which are constantly incinerating our climate goals.