A
scorched plot of land in LA's Pacific Palisades neighborhood has sold for $1.18 million, nearly $200,000 above its asking price, just weeks after being ravaged by a wildfire. The sale is expected to be the first of many, with at least a dozen charred properties currently on the market, some listed for as much as $4 million.

    The lot, which was once home to a four-bedroom house destroyed in January's Palisades Fire, was initially listed for $999,000 and sold within 34 days to a local investor. Realtor Richard Schulman confirmed that the buyer was a "local investor" who saw an opportunity to purchase a plot of land at a discounted price.

    Many homeowners in fire-stricken areas like Pacific Palisades and Altadena are choosing to sell rather than rebuild, citing the lengthy and costly reconstruction process. In fact, up to 70% of affected residents may not return due to difficulties in securing insurance and the risk of future fires, according to real estate experts.

    In Altadena, a similar exodus is unfolding, with at least one-third to half of property owners unwilling or unable to rebuild their homes. Local agent Brock Harris has seen it firsthand, saying that many homeowners are opting to cash out and move on, leaving construction to developers who can get new homes up faster.

    The mass sell-off is sparking debate over what these communities will look like in the future. While some predict that up to 70% of Pacific Palisades residents will never return, others believe that "100%" will come back. To help homeowners facing financial ruin, Gov. Gavin Newsom is pushing a $125 million mortgage relief package.

    The fires have left a devastating impact on the region, with over 37,000 acres burned and more than 16,240 homes and businesses destroyed. The estimated damages range from $95 billion to $164 billion, with insured damages possibly hitting $75 billion.