The most recent eruption included new lava flows through Kapoho Beach Lots and Vacationland that destroyed almost 500 homes.
Scientists working with the US Geological Survey said that lava flow in Hawaii is still active and there's no way out find out when the eruption will end.
Hawaii County Mayor Harry Kim, whose home was among those lost, said the increased toll makes the Kilauea eruption the most catastrophic event in the state's history.
Molten rock has entirely covered the neighborhood of "Vacationland" on Hawaii's big island as it continues to spread into nearby Kapoho Bay.
The latest volcanic eruption, which entered its 36th day on Thursday, stands as the most destructive in the United States since at least the cataclysmic 1980 eruption of Mount St. Helens in Washington state that reduced hundreds of square miles to wasteland, according to geologist Scott Rowland, a volcano specialist from the University of Hawaii at Manoa.
David Ige signed a memo to free up $12 million in immediate disaster relief to pay for police, fire, public works and civil defense personnel.
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More recently a huge river of lava that has crept several miles across the landscape to the eastern tip of the island engulfed two entire seaside housing subdivisions - Kapoho Beach Lots and Vacationland.
The lava also vaporised Hawaii's largest freshwater lake.
Kim told reporters in Hilo on Thursday the total includes about 320 homes in the coastal community of Kapoho.
One of the areas they have been used extensively is in capturing video of the lava flow in the lower East Rift Zone coming from the fissures in Leilani Estates. Meanwhile, a 5.6-magnitude quake recently struck the summit of the volcano, sending more ash and rock thousands of feet into the sky.
In addition to property damage, the eruption has severed highways, knocked out power and telephone services and shut down a geothermal plant that usually provides about a quarter of the island's power.