Zillow: $46B in Housing Within 2025 Los Angeles Wildfire Zones

(Image courtesy of Francesco Paggiaro/pexels.com)

Zillow, Seattle, released a new analysis, finding that $46 billion in residential housing–and 19,605 homes–were within the perimeters of the Palisades and Eaton fires that took place nearly a year ago.

The median home value for houses within the area was $1.95 million as of December 2024.

“The fires cut through some of the Los Angeles area’s most valuable homes, where the median value approached $2 million,” said Orphe Divounguy, senior economist at Zillow. “While home values nearby have dipped a bit, in line with broader Los Angeles trends, the most evident impact was on supply. The sharp increase in listings just outside the burn zones likely reflects a mix of homeowners accelerating planned sales or owners of second homes deciding to list in response to the sudden shift in local demand. Displaced homeowners who were forced to become renters and a shift in tenure choice appear to have contributed to the increase in rents relative to prices.”

Zillow also noted that for-sale housing supply near the fire zones surged immediately after the disasters, and total inventory still remains elevated compared with the rest of the Los Angeles metro area.

And while home values near the perimeters have tracked with overall metro trends, rent growth has run higher. Within 5 miles of the fires, the median rent is up 3.4%, compared with the median home value down 1.7%. For comparison, the median decline for homes prices in the area is 1.9%.