California Wildfire Damages and Economic Loss Estimated at Up to $150 Billion

The deadly disaster may be the worst wildfire in modern California history, Accuweather and J.P. Morgan’s preliminary estimates reveal

Fire engulfs a home as the Eaton Fire moves through the area on January 08, 2025 in Altadena, California. Fueled by intense Santa Ana Winds, the Palisades Fire has grown to over 2,900 acres and 30,000 people have been ordered to evacuate while a second fire has emerged near Eaton Canyon in Altadena. (Photo by Justin Sullivan/Getty Images)

The devastating California wildfires still burning two days later will have costly damages for the city, state and its residents.

One preliminary estimate from AccuWeather, a weather forecasting site, calculated that the total damage and economic loss from the fires across L.A. County could cost between $135 billion and $150 billion.

“These fast-moving, wind-driven infernos have created one of the costliest wildfire disasters in modern U.S. history,” AccuWeather Chief Meteorologist Jonathan Porter said. “Hurricane-force winds sent flames ripping through neighborhoods filled with multi-million-dollar homes. The devastation left behind is heartbreaking and the economic toll is staggering. To put this into perspective, the total damage and economic loss from this wildfire disaster could reach nearly 4 percent of the annual GDP of the state of California.”

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