The Duke and Duchess of Cambridge, who are on a three-week tour of Australia and New Zealand with their baby son George, met some who lost everything in the fires which destroyed more than 200 homes.
"For them to come out all this way to say hello and say, 'I'm sorry this happened to you' ... It didn't seem like duty to them, it seemed like a pleasure," said Eartha Odell.
Kate, wearing a navy and white Diane von Furstenberg wrap dress and blue wedges, chatted with residents in one of the worst-hit streets in October's inferno, 80 kilometres (50 miles) west of Sydney.
"I want to shake as many hands as I can," Prince William said. "Everyone."
Fiona Hillan, who lost her home in the disaster, said she had been impressed by the compassion shown by the duke and duchess.
"It is wonderful," she said. "It doesn't replace everything that we've lost, but it certainly helps the healing process."
She added: "The support we've had, all the way along has been amazing. This is the cherry on the top."
Blue Mountains mayor Mark Greenhill said the royal visit had provoked "great excitement" in the region well known for its bushwalks and stunning scenery.
"The economy has not recovered from the fires and we need to attract visitors back to the mountains ... This coverage will bring people back," he told Australian Associated Press.
In Katoomba the royal couple met some in the crowd after viewing the Three Sisters, the spectacular rock formation which according to Aboriginal legend represents three sisters who were turned to stone. They came away with cards, flowers and toys for eight-month-old George.
The Australian leg of the tour will include stops in Uluru, formerly known as Ayers Rock, in the nation's desert heartland as well as a visit to Sydney's famous Taronga Zoo, when they are expected to bring George.
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