Altadena lot sells for $100K over asking price amid post-fire property surge

A home in Altadena, California, which was destroyed by the Eaton fire last month, has been sold for $550,000—more than $100,000 above its asking price. The 9,109-square-foot lot on West Calaveras Street was previously used as a rental home before being reduced to rubble by the blaze.

The sale is part of a trend where properties damaged by fires are hitting the market at higher prices. A similar property in Pacific Palisades recently sold for over $1 million despite an initial listing of $999,000.

Brock Harris, the real estate agent who represented the seller in Altadena, noted significant interest in the burnt-out land. "I didn’t expect so many serious offers," he said. Harris attributes this interest to the lot's flat terrain, which is rare and desirable for builders in Southern California.

The previous owner decided to sell rather than engage in a lengthy rebuilding process. "She wasn’t sure what the value of the home would be as a rental when she was finished building it," Harris explained.

Harris estimates that up to half of Altadena homeowners affected by recent fires may opt not to rebuild. Many are considering selling their lots due to insurance proceeds and moving on rather than dealing with reconstruction.

The Eaton fire began on January 7 and caused significant damage across Altadena and Pasadena, destroying around 9,500 structures and killing at least 17 people. It heavily impacted Altadena's Black community; nearly half of African-American households were affected according to UCLA's Ralph J. Bunche Center.

Community organizer Freddy Sayegh emphasized the importance of rebuilding without displacing residents: "What we don’t want are people to come buy, build, and then sell it for a profit."

Despite concerns about potential demographic changes due to property sales, Harris argues that fears about large corporations buying up land are misplaced. He assures that inquiries have only come from local builders interested in single-lot development.

"What makes it a neighborhood is not the houses; it’s not even the style of the houses. It’s the people," Harris said. He remains optimistic about rebuilding efforts restoring Altadena's community spirit.