The fires scorched parts of Los Angeles more than a month ago, and with the smoke clear, a devastating domino effect has come into even sharper relief.
It’s a vicious cycle. California does not have enough homes for its population, so home prices and rents have ballooned, far exceeding the rest of the country. The typical California home price is more than double the national average of $355,000; rent is 38% higher, too. Millions of homes are in places prone to disaster, throwing the insurance industry in disarray. The wildfires intensified an already dire housing crisis, and the storm of challenges could alter the real estate landscape for years to come.
