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A recent report from real estate brokerage Redfin reveals that the January wildfire in Los Angeles caused $51.7 billion in damage to residential properties within the city limits. The analysis focused primarily on the Palisades fire, a 23,000-acre blaze that killed at least 12 people and forced over 30,000 residents to evacuate. The report does not include damage from the Eaton fire in Altadena.
Redfin identified approximately 11,000 residential parcels inspected by the city's Department of Building and Safety after the fires. Most of these were single-family homes, many of which were destroyed. The average value of a home before the fires was $3.7 million, with nearly 100 properties valued at over $20 million.
The Palisades fire devastated the Pacific Palisades, a wealthy neighborhood known for its celebrity residents and high-value developments. According to the Union-Bulletin, this fire was the third-most destructive in California's history. Combined with the Eaton fire, these wildfires were the second deadliest in the state's history, resulting in at least 31 fatalities and burning more than 37,000 acres.
An early estimate by Accuweather suggested that the total damage and economic loss from the fires could range from $250 billion to $275 billion. This figure includes costs related to damage, loss of life, healthcare, business disruptions, and other economic impacts. The cause of the Palisades fire remains under investigation, with a leading theory suggesting that a smaller brush fire in the area was not fully extinguished. Additionally, Southern California Edison is under scrutiny for its equipment's potential role in sparking the Eaton fire.