Climate change may mean ‘hundreds of billions’ at risk in U.S. housing market

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New projections suggest a reckoning is coming in the housing market as wildfires and flooding continue and that has implications for the Canadian economy

markets have given little indication that wildfire threats have any bearing on the valuation of a home.

It’s a bubble that amounts to the “high hundreds of billions, if not trillions” of dollars across the U.S., he said.model, which suggests that over the next three decades, the number of structures – homes, garages and the like – destroyed by flames on average every year in the U.S. is likely to double to nearly 34,000. That’s roughly the number of structures in Asheville, N.C., with a population of 95,000.

It’s a grim prognostication that stands at odds with a sunny outlook in California’s property industry. Take Riverside County, a semi-arid region east of Los Angeles where dun mountains rise up over dry shrublands punctuated by suburbs and citrus orchards. Riverside numbered among the destinations for people leaving major urban centres in recent years, its population up 2.3 per cent since 2020.

“I just don’t see the losses continuing at their current pace – even if fires do continue to get more intense and larger,” he said.

 

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