Since the 1970s, wildfire damages have increased dramatically - particularly in California where 10 of the 20 most damaging fires in state history have occurred in the last 6 years. Part of the reason for this is due to an expanding suburban/rural wildland urban interface, or WUI. These increases in risk have led to a variety of problems and difficult decisions for policymakers. Many works in the field have shown that wildfire suppression costs increase in proximity to homes, particularly those homes of higher value, leading to higher costs for utilities, services and insurance in these communities. How these communities will change in demographics has yet to be examined. Linking ZTRAX home transaction data with mortgage and demographic data collected for the HMDA, we create a novel dataset that allows us to examine compositional changes in home ownership at the home level. Using a hedonic sorting model, we examine how residents of interface communities sort over wildfire risk using a novel instrument from historic wildfire policy changes in California