A Holiday Plunge
Housing is about to shift to the Holiday Market when both the supply of available homes and purchase demand falls to their lowest levels of the year on New Year’s Day. With all the distractions of the holidays, supply and demand will plunge through the end of the year.
Immediately after all the little ones enjoy going door-to-door trick-or-treating, all the Halloween decorations come down in the snap of a finger. It is the first sign that a holiday downshift is upon us. Daylight savings ends in early November; clocks roll back an hour, and suddenly, it is dark at 5 PM. This is yet another sign. Starbucks cups, holiday romantic movies on Netflix, and neighbors’ early installation of Christmas lights are all further indications that the festivities and distractions of the season are about to hit the housing market.
With Thanksgiving next week, the diversion of family gatherings, holiday parties, plenty of shopping, eggnog, and nonstop festive music has arrived. Orange County transitions to the Holiday Market starting this week in the blink of an eye. The inventory plunges, demand plunges, and the Expected Market Time will not change much this year. This is the season where many sellers and buyers will place their real estate goals and needs on pause to enjoy the merriment.
Excerpt taken from an article by Steven Thomas.