Wildfire Risk Could Negatively Impact California’s Housing Market 

Housing values in California are negatively affected by wildfire danger, according to an Aug. 26 letter by the San Francisco Federal Reserve.  Published online Monday, reserve officials said that many seek wildfire prone areas for their openness and green space. But, they said, the risk of wildfire in such areas outweigh such benefits, even when homeowners have insurance. “This pattern may become stronger in years to come if residential construction continues to expand into areas with higher fire risk and if trends in wildfire severity continue,” they wrote. Wildfires have impacted the Golden State for decades—between 1987 and 2022, more than 300,000 blazes were recorded—and in recent years, the danger has increased, the letter said....