Could Winter Freeze the Housing Market

Could Winter Freeze the Housing Market

There are only a few weeks left to the year and that means that winter is on the way. Right before the year ends winter will be officially here and that could mean a further cooling off of the housing market. The usual action of home buyers is to give a slight boost to the market right before the holidays set in, but afterward the market settles into calm with less activity until spring.

Without something to boost the market in the coming weeks, it could be more of a freeze than a calm to the market. There are already a lot of warnings as to an expectation of consumer caution during usual holiday spending. That caution would be expected to extend even more toward high end expenditures which would include property purchases.

Many might be pushing caution aside and not be worried, but will stay away from the housing market due to the possibility of finding in the new year even lower asking prices from home sellers than what are available currently. They could also be waiting for the new year to bring lower interest rates from lenders.

In past winters there have been motivational opportunities to bring buyers to the housing market, such as the introduction of Help to Buy, a revision to the stamp duty, and other beneficial schemes. Nothing so far seems to be present that would warrant a strong return to the housing market to give a winter boost.

However, the housing market has proved to be resilient in the past few months, and it might just give one more surprise as winter takes hold to keep the market thawed.

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