T
he Pacific Palisades real estate market is navigating a challenging landscape following the January wildfires. Despite rebuilding efforts gaining momentum, property owners face uncertainty about their future. According to Anthony Marguleas of Amalfi Estates, nearly 100 burned lots are entering the market each month, with 165 currently active and 30 sold.

    The surge in supply has outpaced demand, leading to a sharp increase in land values dropping by 35-40% across much of the Palisades. The Huntington area has been relatively resilient, with a decline of only 10-15%. However, Marguleas warns that inventory growth may continue to drive down values over the next year.

    Many owners are hesitant to sell, believing the market has bottomed out. But Marguleas cautions that this is far from reality, likening it to being just four miles into a marathon. For those who must sell, doing so sooner may help preserve equity, while those who can wait may see their property values increase over the next few years.

    Well-priced lots in desirable locations are still attracting buyers, such as a burned parcel that sold for $1.65 million after listing at $999,000. On the ground, signs of recovery are emerging, with 27 home-building permits issued and construction underway on several homes. Local leaders hope some will be completed by January 2026.

    The lack of data makes it difficult to price or evaluate properties that weren't directly damaged. From February to April, just 11 homes and 20 leases closed in the Palisades, with only eight homes and five leases located in burn zones.