Southern California's expensive housing market is going to get a lot more competitive after deadly firestorms torched more than 12,000 homes and other structures in the Los Angeles area, leaving tens of thousands of people without a place to stay.

The Los Angeles area wildfires that have devastated communities like Pacific Palisades and Altadena have prompted a spike in prices for rental housing, spurring price gouging concerns.

Price-gouging rules in place because of the L.A. County fires apply even in cases of bidding wars for rental property, state Atty. Gen. Rob Bonta said.

Price gouging, including for rental housing, is illegal during a state of emergency, which was declared by California Gov. Gavin Newsom on Jan. 7. During emergencies, landlords are prohibited from raising rental housing prices by more than 10% of the previously advertised price.

Letters from California Atty. Gen. Rob Bonta advise more than 200 landlords and hotels that they've been accused of violating the state's price-gouging law.

Real estate experts say California’s anti-price-gouging laws could make it impossible to rent out housing to the thousands of families displaced by the ongoing wildfires unless the governor issues an executive order excluding rentals from the rules.

California officials are sounding the alarm as rent prices skyrocket in fire-affected areas of Los Angeles. With the declaration of a state of emergency due to recent wildfires, the law prohibits landlords from price gouging,