Devastating Fires Send L.A. Residents Scrambling for Homes in a Tight Market: ‘Get Me to Newport’

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Due to two significant fires that are still burning in the Los Angeles region, countless affected residents are urgently seeking shelter right now.

Dylan Eckhardt, a prominent realtor in luxury properties who represents celebrities like Justin Bieber and Rihanna, reports he’s fielded 36 calls over the past 18 hours from homeowners in Malibu and Pacific Palisades whose homes were devastated by fire. Meanwhile, residents displaced from Altadena are frantically searching for new housing opportunities across the city.

Eckhardt states, “‘I’m looking for a house with four bedrooms.’ ‘I require a trip to Newport.’ Many individuals are inquiring about Orange County from me. The Palisades are currently in utter pandemonium. People are driving dirt bikes and attempting to aid friends while carrying animals on their backs. It’s more chaotic today than it was three days ago, and navigating Malibu feels like a scene from Armageddon.

Eckhardt has made available 160 houses off the market, located between Los Angeles and Orange County, to cater to the surge in demand. He’s forgoing his substantial commission for those directly impacted by the fires. It’s not just about finding a place to live immediately following the fires that’s problematic. Even after the flames subside, rebuilding will be a challenging and time-consuming endeavor.

According to Eckhardt, it could take us anywhere from five to twelve years to rebuild the affected area, and possibly even longer. He pointed out that the permit process in this region, particularly Malibu, is reminiscent of a Kafkaesque nightmare. Before the fire, getting a permit to renovate a bedroom in your house would typically take around 18 months to two years. However, now we’re looking at a timeline of about five years before construction can even begin.

On Friday, during a press conference about the fire, state and local officials pledged an extensive initiative to cut through bureaucratic hurdles, aiming to speed up the region’s recovery process. However, in the short term, approximately 40,000 residents are suddenly finding themselves in need of new homes.

An unidentified real estate agent on the western side of town has been constantly receiving calls from clients who have been impacted by the fires. She shared that these individuals believe they will return to their homes after evacuating, but they are in disbelief. “They were taken aback Tuesday night,” the agent said, “grabbing whatever they could quickly and leaving, only to be in shock Wednesday. They couldn’t grasp what had happened, and now, people are desperately scrambling to find a new place to live without knowing what their future holds.

As a film enthusiast living in this bustling city, I’ve noticed an intriguing shift in property preferences among my clients. Ranging from seasoned Hollywood writers to high-ranking executives, some with growing families, there’s a definite leaning towards apartments over houses – and they’re steering clear of areas previously coveted like Malibu and Pacific Palisades due to fire risks. “Even if it’s safe,” a realtor I spoke with mentioned, “they’ll say, ‘I don’t want a house,’ preferring condos or apartments instead.” The real estate market is a whirlwind right now, with the fires adding another layer of complexity. With inventory already scarce due to potential sellers holding back their properties until they see how interest rates will move in the coming months, it’s a challenging yet exciting time for us all!

The destructive fires are causing significant damage in the affluent Pacific Palisades area and the economically diverse community of Altadena, north of Pasadena. This has impacted both the wealthy residents of Los Angeles and ordinary Angelenos. Approximately 80-100 members of the International Alliance of Theatrical Stage Employees (IATSE) have reportedly lost their homes, with many residing in Altadena. Rent in Los Angeles has been soaring to unaffordable levels, particularly for entertainment workers who have been affected by last year’s strikes and production slowdown.

The list of prominent figures being affected is expanding, with names like Anthony Hopkins, Billy Crystal, Paris Hilton, Spencer Pratt, Heidi Montag, Milo Ventimiglia, Anna Faris, James Woods, Diane Warren, Steve Guttenberg, Mel Gibson, Tina Knowles, Miles Teller, Cobie Smulders, Melissa Rivers, Jeff Bridges, Eugene Levy, Adam Brody, and Leighton Meester now included.

Despite his Malibu Point Dume residence remaining unscathed thus far, Eckhardt has unfortunately suffered a loss exceeding $63 million due to exclusive properties he was listing going up in flames over the last three days. He anticipates this amount to increase.

He further states, “We won’t see homes in Malibu being insured for millions anymore, not like before.” or “Insuring houses in Malibu for $15 million will be a thing of the past from now on.

Due to their homes being destroyed, some property owners might find it difficult to recover their investment. Recently, State Farm stopped providing coverage for about 72,000 houses and apartments across California, with 1,600 of these being in Pacific Palisades. In an effort to help homeowners in fire-affected regions, the state’s insurance commissioner, Ricardo Lara, announced a one-year ban on cancelling or not renewing homeowners insurance policies starting from Friday.

People who managed to save their homes from the fire yet had to leave due to being in an evacuation zone are also dealing with looting. Eckhardt recommends his clients to avoid sharing details of their experiences on social media.

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Those lucky enough to keep their houses safe from the flames but were forced to evacuate due to being in a designated evacuation area are encountering looting issues. Eckhardt urges his clients to abstain from disclosing their ordeals on social platforms.

I’m reaching out to my high-profile clients, including NBA athletes, football players, and celebrities. I’m advising them to stop sharing images of their homes on social media because a fire is only three miles away. I understand they might think it won’t affect their property, but it’s better to err on the side of caution.

I’ve noticed some have mentioned that they’ve evacuated their homes. While I sympathize with their situation, I would strongly advise against sharing details about your evacuation, particularly when valuable items like MVP trophies and World Series rings are left unattended. This could potentially attract unwanted attention, similar to the Bling Ring incidents.

On Thursday, Eckhardt conducted viewings for four luxury rentals, hinting at a rapid surge in demand outstripping supply. The cost of these homes per month varies from $15,000 to $45,000. A total of 55 individuals took a look at the properties.

He suggests that we should begin the process of resettling individuals, allowing them to start anew. “Things are tough,” he acknowledges, “and it’s inevitable that difficult emotions will arise. However, we must take the proper steps forward.

See resources for guild members and other entertainment industry workers here.

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2025-01-11 05:22