If you’re thinking about buying in Malibu right now — especially a lot or a fire-affected property — the single most important thing to understand is how hard and how slow rebuilding here has been. I’d rather a client walk in clear-eyed than fall for a “deal” that turns into a decade-long project. Here’s the honest picture, with the caveat that permit numbers move every month, so verify the latest with the City before you make a decision.
What actually burned
Two fires reshaped eastern Malibu. The Franklin Fire in December 2024 burned about 4,000 acres in and around Malibu Canyon and destroyed roughly 20 structures. The far larger Palisades Fire in January 2025 swept into eastern Malibu; city leadership described losing about a third of the city’s eastern edge, and roughly 720 Malibu homes were lost. Landmark PCH businesses — the Reel Inn, Moonshadows, Cholada Thai and others — were among the losses.
Why rebuilding has been so slow
This is the part buyers underestimate. Reporting in 2025 found that Malibu had approved only a small fraction of rebuild permits — on the order of a couple of percent of applications — far behind the pace in areas handled by the City of Los Angeles or LA County. The obstacles are specific to Malibu’s geography: a large share of burned homes were waterfront or on steep slopes, requiring seawalls, retaining walls and special foundations; updated FEMA flood-elevation rules have forced redesigns; and new onsite wastewater and septic requirements add cost and time. One city rebuild official publicly warned the process could stretch “longer than a decade.”
What that means for buyers
It cuts two ways. On one hand, discouraged owners have listed a large number of lots, and reporting has described land trading at meaningful discounts. On the other, a burned lot is not a shortcut to a cheap Malibu home — it’s a permitting and construction project with real risk and a long horizon. If you’re buying land, budget generously for time, engineering and carrying costs, and get a realistic read on the specific parcel’s slope, flood zone and septic situation before you write an offer.
A recovery bright spot
There is forward motion. In neighboring Sunset Mesa (which, as noted, is unincorporated LA County rather than the City of Malibu), crews broke ground on 21 new homes in April 2026 through a County-coordinated group rebuild, with first move-ins expected in spring 2027. It’s a reminder that recovery is happening — just unevenly, and faster where the permitting authority has moved quickly.
Frequently asked questions
Can I buy a burned lot in Malibu and rebuild cheaply?
You can buy land at a discount, but “cheaply” and “quickly” are the wrong expectations. Malibu’s rebuild permitting has been very slow, and coastal/hillside lots carry expensive engineering requirements. Treat it as a long-term construction project and verify the specific parcel’s constraints first.
How many Malibu homes were destroyed in the 2025 fires?
Roughly 720 Malibu homes were lost in the January 2025 Palisades Fire, on top of about 20 structures in the December 2024 Franklin Fire. City leaders described losing about a third of Malibu’s eastern edge.
How long does it take to rebuild in Malibu?
Longer than most buyers expect. As of 2025, permit approvals were running well behind neighboring jurisdictions, and a city official cautioned the overall recovery could take more than a decade. Always confirm current timelines and your parcel’s requirements with the City of Malibu.
Numbers describe the trend; the listings tell you what it means for you. See what homes are currently available in Malibu, or browse recently sold homes in Malibu.
For the broader market picture, see how to read Malibu prices after the 2025 fires.
Source: recorded single-family, condo and townhome sales from this site’s live MLS/public-record IDX feed, covering January 1–June 30, 2026, with the same period in 2025 for comparison. County recording lags the closing table by several weeks, so first-half figures may firm up slightly as late-June sales finish recording; days-on-market is not carried in this feed. Small markets swing on a handful of sales — read price alongside count. Deemed reliable but not guaranteed.
