Early on August 8, 2023, the Dadez family witnessed smoke rising from a hillside about two and a half miles from their home in Lahaina, on the Hawaiian island of Maui. Fueled by a combination of intense winds, severe drought, and the parched fields of a former sugar cane plantation, a wildfire rapidly developed. Initially, the family believed the fire posed little threat, as it seemed distant and uphill. However, by nightfall, the flames and smoke had reached their neighborhood, forcing the family to evacuate urgently.

As the fire swept through Lahaina, it became the deadliest wildfire in the United States in over a century. It scorched approximately 2,170 acres, destroyed more than 2,700 structures, and claimed at least 102 lives. The disaster rendered about 12,000 people homeless almost overnight.

Nearly a year after the wildfire, homelessness in Hawaii had surged, with 11,637 residents lacking permanent housing—an 87 percent increase from pre-fire levels. The number of people residing in emergency shelters or transitional housing, including FEMA-supported accommodations and temporary arrangements with friends, had tripled.

Maui had been grappling with a housing shortage even before the fire. High demand from vacation rentals and second homes, alongside the rise of remote work, had attracted wealthy mainland buyers, driving up housing costs and reducing the availability of affordable options. Experts note that the wildfire crisis intersected with this ongoing housing challenge, creating a compounded emergency. Kathryn Leifheit, an assistant professor at U.C.L.A. who studies homelessness linked to climate disasters, described the situation as emblematic of broader national and global trends where climate and housing crises converge.

As FEMA plans to end temporary housing assistance in February, many Maui residents face pressure to rebuild quickly. However, some fear that the rebuilt Lahaina will cater primarily to short-term rentals or upscale homes constructed by mainland investors, limiting opportunities for former residents to return.

For the Dadez family, displacement has been a prolonged ordeal. After the fire, they relocated eight times, including stints in two hotel rooms shared among seven family members, often sleeping on couches. This summer, they finally moved into their reconstructed home near Front Street, Lahaina’s historic district. While the area has received infrastructure improvements such as new sidewalks and street lighting, commercial recovery remains slow, with only a limited number of businesses formally reopening, including a single food truck. The family remains uncertain about when the broader community will fully recover.

In the immediate aftermath, many survivors, including the Dadez family, found refuge in churches and temporary shelters before being placed by the state in a program that housed displaced residents in local hotels. This solution, while rapid, presented drawbacks as some hotel occupants had pre-existing housing instabilities, complicating resource allocation for emergency agencies such as FEMA.

The hospitality sector, the largest employer in West Maui, also played a critical role in response efforts. Kekoa Mowat, head of security at the Hyatt Regency, returned to work the night of the fire to manage the evacuation of about 2,000 tourists. His family and other displaced residents later occupied part of the hotel for months.

Beyond the physical destruction, the wildfire’s impact on mental health has been profound. Children and adults alike have struggled with anxiety, trauma, and instability. The Dadez’s youngest child, Kobe, frequently sought reassurance after the fire, and their daughter Samara faced bullying at school due to her housing situation. Efforts to address trauma through therapy have been limited, often conducted remotely by practitioners unfamiliar with the local context.

Research led by Ruben Juarez, who directed the Maui Wildfire Exposure Study published recently, underscores the ongoing psychological toll. One in five surveyed residents reported housing insecurity, correlating with heightened rates of severe mental health symptoms including suicidal ideation. Data also show that suicide and overdose deaths in Maui surged in August 2023, reaching their highest levels in a decade.

When tourism resumed two months after the fire, survivors found themselves living alongside visitors in the same hotels, a situation that many, including the Dadez family, found difficult. As Lahaina continues its slow path to recovery, the intersection of housing, health, and economic challenges remains a critical concern for the community.