Real estate loss from Hawaii eruption
Despite being next to one of the world’s most active volcanoes, homebuyers came from all over to own their own piece of paradise. Rural and remote. Open and peaceful. Lush and beautiful. It was Hawaii. Perhaps best of all, it was affordable.
Several neighbourhoods in one of the most affordable housing markets in the state are now gone. Hundreds of those homes in the Big Island’s Puna region have been wiped out by lava in Kilauea’s latest volcanic episode, displacing thousands who are scrambling to find rental housing or who have moved into shelters and are staying with family and friends.
The property losses are being calculated as officials are forecasting property tax collections to set budgets. The county has deemed the homes and lots to have zero value, disappointing some owners who have challenged the county’s valuations. Even if some houses survived and are still standing, the county still estimated them as having no value as the properties cannot be used, sold or even accessed.