$46 billion in housing was within the 2025 Los Angeles wildfire zones

Rhea-AI Summary

Zillow (Z) analysis finds $45.9 billion in residential housing value exposed inside the Palisades and Eaton fire perimeters as of Dec 31, 2024, covering 19,605 residential units with a median home value of $1.95M. The January 2025 fires burned ~40,000 acres and destroyed more than 11,000 single-family homes; at least 30 deaths were reported.

One year later, median home values near the perimeters fell 1.7%, new listings spiked 194% in Jan 2025, active inventory rose 50.4% through Nov 2025, and median list rents within 5 miles increased 3.4%.

Positive

• $45.9B residential housing value exposed in fire perimeters
• New listings within 5 miles spiked 194% in Jan 2025
• Active inventory within 5 miles rose 50.4% from Dec 2024 to Nov 2025
• Median list rents within 5 miles up 3.4% through Nov 2025

Negative

• More than 11,000 single-family homes destroyed
• Median home value within 5 miles declined 1.7% from Dec 2024 to Nov 2025
• 19,605 residential units exposed inside fire perimeters

News Market Reaction

-0.72%

1 alert

-0.72% News Effect

On the day this news was published, Z declined 0.72%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Housing value exposed: $46 billion Homes in perimeters: 19,605 homes Median home value: $1.95 million +5 more

8 metrics

Housing value exposed $46 billion Residential housing value within Palisades and Eaton fire perimeters

Homes in perimeters 19,605 homes Residential units within Palisades and Eaton fire perimeters

Median home value $1.95 million Median home value within fire perimeters as of December 2024

Acres burned 40,000 acres Area burned before containment of Palisades and Eaton fires

Homes destroyed More than 11,000 Single-family homes destroyed by the fires

Home value change -1.7% Median home value change within 5 miles since December 2024

Rent change 3.4% Median list rent increase within 5 miles through November 2025

Severe wildfire risk share 94% Burned properties labeled severe or extreme wildfire risk by First Street

Market Reality Check

Price: $43.45 Vol: Today’s volume of 1,310,6...

low vol

$43.45 Last Close

Volume Today’s volume of 1,310,691 shares is below the 20-day average of 2,573,128, suggesting limited pre-news positioning. low

Technical Shares at $69.86 are trading below the $73.78 200-day moving average, indicating a weaker longer-term trend ahead of this report.

Peers on Argus

Peers show mixed moves: close peer ZG is up 0.62%, while others like PINS are do...

1 Up

Peers show mixed moves: close peer ZG is up 0.62%, while others like PINS are down 0.46% and BIDU is up 4.26%. No broad, synchronized sector move is indicated around this Zillow wildfire-risk analysis.

Historical Context

5 past events · Latest: Dec 18 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 18	Housing trends report	Neutral	-1.8%	Update on November listings, price cuts, sales and affordability metrics.
Dec 17	Search behavior review	Neutral	-1.9%	Zillow Zeitgeist 2025 summarizing shifts in home‑search preferences.
Dec 16	Market rankings	Neutral	+2.5%	Release of 2025 most‑popular markets led by Rockford, Illinois.
Dec 15	Holiday towns feature	Neutral	-8.5%	List of 10 most festive holiday towns and related housing data.
Dec 11	Mortgage shopping study	Neutral	+0.3%	Analysis of buyers’ limited rate shopping and resulting payment impacts.

Pattern Detected

Recent Zillow data/insight releases often saw modest single-day moves, with both positive and negative reactions, suggesting limited but persistent sensitivity to macro housing narratives.

Recent Company History

Over the past few weeks, Zillow has released multiple data-driven housing reports, from November 2025 cooling in listings and sales to shifting home‑search preferences and rankings of attractive Midwest markets. These were accompanied by both gains and selloffs, including a -8.47% move on a holiday‑themed release and a 2.47% rise on Midwest market rankings. Today’s wildfire exposure analysis continues the pattern of Zillow using its data platform to highlight regional housing dynamics and risk.

Market Pulse Summary

This announcement analyzes wildfire exposure in Los Angeles, quantifying $46 billion in residential ...

Analysis

This announcement analyzes wildfire exposure in Los Angeles, quantifying $46 billion in residential value across 19,605 homes and describing modest home‑price declines but firmer rents near the burn zones. It underscores Zillow’s data assets and tools, including its climate risk module, in helping users understand localized housing risk. Investors may watch how such risk analytics support engagement in rentals, listings, and advertising, alongside broader housing‑market trends detailed in prior Zillow research.

Key Terms

Fire Hazard Severity Zone, wildfire risk, climate risk module

3 terms

Fire Hazard Severity Zone regulatory

"Cal Fire's Fire Hazard Severity Zone maps captured only 21% of these same properties"

A fire hazard severity zone is an official map classification that shows how likely and how intense wildfires are in a particular area, similar to a flood zone map for storms. For investors, it matters because properties in higher-severity zones often face stricter building rules, higher insurance costs, greater liability and potential loss of value, and added expenses for mitigation—factors that can change operating costs and the financial outlook for real estate, utilities, and other assets.

wildfire risk technical

"94% of properties that burned were labeled as having "severe" or "extreme" wildfire risk."

Wildfire risk is the likelihood that a company’s assets, operations, supply chains, or local markets will be damaged or disrupted by uncontrolled fires. Like owning a house in a fire-prone area, this risk affects repair and replacement costs, insurance premiums, downtime and long-term property value, so investors watch it to judge potential losses, higher operating costs, and the strength of a company’s plans to reduce and respond to fire damage.

climate risk module technical

"via the climate risk module on all Zillow for-sale listings."

A climate risk module is a tool or component within financial models and software that estimates how climate change — through physical events like storms and chronic shifts, and through policy or market changes — could affect a company’s assets, revenues and costs. Investors use it like a weather forecast for portfolios: it helps reveal vulnerabilities, estimate potential losses or transition costs, and guide decisions to reduce exposure or capture opportunities tied to the shift to a low‑carbon economy.

AI-generated analysis. Not financial advice.

One year later, home values near the fire zones have largely followed Los Angeles trends, while inventory and rents show more lasting shifts

• According to Zillow data, $46 billion in residential housing value across 19,605 homes lay within the Palisades and Eaton fire perimeters, where the median home value was $1.95 million as of December 2024.
• For-sale housing supply near the fire zones surged in the immediate aftermath, Zillow data shows. Within 5 miles of the fire areas, new listings jumped sharply from December 2024 to January 2025. Total inventory remains elevated compared with the rest of the Los Angeles metro area.
• Home values near the perimeters of the fires have largely tracked Los Angeles metro trends, but rent growth has run higher, according to Zillow data. The median home value within 5 miles of the fire zones is down 1.7% since December 2024, while the median list rent has risen 3.4%.

SEATTLE, Dec. 30, 2025 /PRNewswire/ -- The Palisades and Eaton fires that burned through parts of the Los Angeles area in January 2025 took a significant human toll, including at least 30 deaths. Beyond the human impact, a new Zillow® analysis shows the fires exposed $46 billion in residential housing value within the affected areas.

Before containment, the fires burned through 40,000 acres, threatening roughly 20,000 homes — including multifamily units. Reports show that more than 11,000 single-family homes alone were destroyed. One year later, home values near areas affected by the fires are little changed, while inventory and rents have seen some lasting impacts.

"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 data shows the scope of housing exposure within the fire perimeters, as of December 31, 2024:

Housing exposure within the Palisades and Eaton fire perimeters (Zillow data, as of December 31, 2024)
Measure	Value
Number of residential units	19,605
Total home value	$45.9 billion
Median home value	$1,949,153
Total bedrooms	59,680
Median home size (square feet)	1,960
Median year built	1954
Homes valued at $5 million or more	1,582
Homes valued at $10 million or more	175

Home values in areas within 5 miles of the fire perimeters largely followed broader Los Angeles metro trends. The median home value in this zone fell 1.7% from December 2024 to November 2025, similar to the 1.9% decline for homes in the Los Angeles metro area more than 20 miles from the fire perimeters.

The clearest impacts appeared in for-sale supply near the fire zones. In the immediate aftermath, new listings within 5 miles of the fire perimeters surged 194% in January 2025 compared with December 2024 — more than double the 91% increase seen more than 20 miles from the fires — and remained 45% above pre-fire levels in November 2025. Active inventory rose 50.4% between December 2024 and November 2025, outpacing inventory growth elsewhere in the metro — inventory is up 34.8% more than 20 miles from the fires over the same period.

In the rental market, median list rents showed little immediate disruption near the fire perimeters, dipping just 0.1% from December 2024 to January 2025. Over time, rents within 5 miles rose 3.4% through November 2025, compared with a 1.7% increase beyond 20 miles.

According to First Street data that is available on Zillow for-sale listings, 94% of properties that burned were labeled as having "severe" or "extreme" wildfire risk. Cal Fire's Fire Hazard Severity Zone maps captured only 21% of these same properties as "very high" risk, reflecting differences in modeling approaches. Home shoppers on Zillow can access this information regarding the risk of wildfire and other natural disasters by clicking through to First Street's website via the climate risk module on all Zillow for-sale listings.

About Zillow Group
Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people. As the most visited real estate app and website in the United States, Zillow and its affiliates help people find and get the home they want by connecting them with digital solutions, dedicated real estate professionals, and easier buying, selling, financing, and renting experiences.

Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans℠, Zillow Rentals®, Trulia®, Out East®, StreetEasy®, HotPads®, ShowingTime+℠, Spruce®, and Follow Up Boss®.

All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2025 MFTB Holdco, Inc., a Zillow affiliate.

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SOURCE Zillow

FAQ

How much housing value did Zillow say was inside the Palisades and Eaton fire perimeters in 2024 for Z?

Zillow reported $45.9 billion in total home value inside the fire perimeters as of Dec 31, 2024.

What was the median home value near the Palisades and Eaton fires according to Zillow (Z) data?

The median home value within the fire perimeters was about $1.95 million as of Dec 31, 2024.

How did housing supply change near the January 2025 Los Angeles fires in Zillow's report for Z?

New listings within 5 miles jumped 194% in Jan 2025 and active inventory rose 50.4% through Nov 2025.

What happened to rents near the Palisades and Eaton fire zones in 2025 according to Zillow (Z)?

Median list rents within 5 miles rose 3.4% through Nov 2025, compared with a 1.7% increase beyond 20 miles.

How many homes were reported destroyed by the Palisades and Eaton fires in the Zillow analysis for Z?

Reports cited in the analysis indicate more than 11,000 single-family homes were destroyed.

Did Zillow report differences between wildfire risk models in the Z analysis?

Yes; Zillow noted 94% of burned properties were labeled "severe" or "extreme" by First Street, while Cal Fire maps captured 21% as "very high" risk.