As 2026 gets underway, many families still rebuilding after the devastating wildfires of 2023 face an unsettling question: what happens next with housing support? Nearly three years after the catastrophic blazes in Lahaina and Kula, survivors are confronting one of the hardest parts of recovery — affording a place to live — and the future of federal aid is uncertain.

FEMA Assistance: A Lifeline that Could Soon End

After the fires destroyed thousands of homes and displaced nearly 12,000 people, the Federal Emergency Management Agency (FEMA) stepped in to help survivors with temporary housing, rental subsidies, and leased apartments. That support was extended through February 2026, but now it may not be renewed past that date.

As it stands, about 940 households on Maui are still dependent on FEMA — either through financial housing assistance, direct lease programs, or modular housing units — just to stay sheltered.

Why This Matters: The Harsh Realities of Maui’s Rental Market

Maui’s housing market was challenging long before the fires, and it’s become even tighter since. The rental vacancy rate is below 2%, and affordable units — especially those priced at or below fair market rent — are essentially nonexistent.

Rents have surged, in some cases rising 50–60% higher than before the fires, and modest two- or three-bedroom homes can cost nearly double what local families once paid.

Without continued federal rental support, many survivors could be forced to:

• Pay market rates they simply can’t afford

• Relocate off the island to find housing

• Face increased instability or even the risk of homelessness

Housing advocates warn that ending FEMA aid without affordable alternatives in place could set back years of recovery work.

Local Leadership Is Planning — But Tough Decisions Loom

State and local officials are pushing for an extension of FEMA support, and a decision is expected by the end of January 2026. Meanwhile, contingency plans are in discussion, including:

• Taking over FEMA-leased properties once federal support ends

• Exploring state or county-backed housing solutions

• Accelerating construction or renovation of new units to replace temporary ones

But even these efforts face significant hurdles — supply shortages, high construction costs, and continued demand — all challenges that Maui’s recovery process has wrestled with for years.

Source: AP News