Maui Residents Still Rebuilding After 2023 Wildfires Get Housing Relief as FEMA Extends Aid

Maui residents still rebuilding after the deadly 2023 wildfires received some welcome news from the federal government.

The Federal Emergency Management Agency (FEMA) approved a one-year extension of its temporary housing assistance for survivors, which was set to end Feb. 28.

The FEMA housing assistance is now extended through February 2027.

"This extension is critical for Maui’s people and our state," Hawaii Gov. Josh Green told Realtor.com®. "Recovery doesn’t follow an artificial deadline, and I appreciate Secretary Noem and the administration for recognizing the reality families are still facing on the ground here in Hawaii."

At the request of the State of Hawaii, FEMA and U.S. Department of Homeland Security Secretary Kristi Noem authorized this extension under the Robert T. Stafford Disaster Relief and Emergency Assistance Act.

"The extension will ease some of the stress for individuals and families who continue to suffer from the fire's after-effects," real estate agent Evan Harlow, of Maui Elite Property tells Realtor.com. "Housing insecurity is directly linked to significant mental health challenges, and years of post-fire trauma can really take a toll on someone. We should be doing anything we can do to continue providing these victims with housing security and help them get back on their feet."

The catastrophic wildfires killed 102 people, destroyed 2,200 structures, and displaced more than 12,000 residents—89% of whom were renters at the time of the fires—in August 2023. AccuWeather estimated the total damage and economic loss from the deadly 2023 Maui wildfires at $13 billion to $16 billion.

FEMA reports that Maui is experiencing ongoing, severe housing shortages in the aftermath of the fires, driven by extended rebuilding timelines and a lack of affordable rental options. As a result, many displaced residents remain unable to obtain permanent housing without continued FEMA temporary housing assistance.

"While there is noticeable progress in the rebuilding of Lahaina, the recovery has been slower than we all hoped." Harlow says. "The first stages of the cleanup took 18 months before rebuilding could begin."

Even though a $4 billion settlement was reached in August 2024 to resolve all Maui wildfire tort claims, payments have not been issued yet.

Harlow says, "Many victims are still waiting on their settlements to begin their rebuilding efforts, and this is our current bottleneck for rebuilding Lahaina."

Housing aid info

Survivors who have an ongoing need and are currently living at FEMA’s Kilohana temporary group housing site, in Direct Lease units, temporary housing units on private property, or other FEMA-provided temporary housing sites can stay until Feb. 28, 2027, as long as they remain eligible.

Furthermore, households participating in FEMA’s Rental Assistance program may be eligible for continued financial assistance toward rent, subject to ongoing need and compliance with program requirements.

Nearly 1,000 households still live in temporary housing or rely on rental assistance provided by FEMA. 

The Associated Press reports that roughly 190 households live in modular units, 470 are in the direct lease program, and 280 rely on financial assistance.

To remain eligible for FEMA housing assistance, individuals and households must participate in regular recertification meetings with their Recertification Advisor. In addition, Direct Housing participants are required to pay monthly rent on time, with rental charges effective March 1, 2026, set at a new minimum of 25% of the U.S. Department of Housing and Urban Development (HUD) FY 2026 Fair Market Rent for Maui County.

While receiving extended assistance, survivors living in FEMA-provided temporary housing are expected to keep working on their permanent housing plan and show progress toward that goal.

Looking ahead

“Our families have endured so much, and I’m relieved we’re able to share this good news,” Mayor Richard Bissen tells Realtor.com. “This extension comes at a critical time as we continue bringing permanent housing online during an ongoing housing crisis. While this extension offers breathing room, it is imperative that we keep our momentum. We remain fully committed to seeing this recovery through and delivering permanent solutions for every household—whether through long-term rental, rebuilding, or homeownership.”

On Jan. 26, Mayor Bissen told lawmakers at the Hawaii Capitol that his administration has pivoted from immediate wildfire recovery efforts to housing delivery and large-scale infrastructure investments.

Bissen reported that the county has completed 427 housing units in Lahaina since the fires, constructed more than 500 affordable and workforce homes across the county in 2025, and is on pace to finish over 600 additional homes in 2026.

According to the city’s Maui Recovers dashboard, 117 residences destroyed by the wildfires have been reconstructed to date.

The current median listing price in Maui is $1,049,500, according to Realtor.com® data for December 2025.

Harlow notes that although condo prices have recently fallen by more than 30%, they still remain out of reach for most local residents.

Rentals are also unaffordable. The University of Hawaii Economic Research Organization found that studio and one-bedroom rents are about one-third higher than before the wildfires, two-bedroom units are roughly 10% more expensive, and rents for three-bedroom or larger units are about double pre-fire levels.

“Our county must be more proactive in developing affordable housing,” says Harlow.