Outlet: CNBC

It’s still too soon to fully calculate the cost of the Los Angeles wildfires, but one thing is clear: The cost of insurance will go up, and that will affect not just the value of LA real estate but of real estate across the nation.

“Growing climate-related disaster risk has accelerated much more rapidly,” said Ben Keys, a professor of real estate and finance at the University of Pennsylvania’s Wharton School. “Ultimately, assets are going to have to find a new equilibrium in order to clear the market.”

Photo credit: screenshot from CNBC video interview