Saturday, December 8, 2007

Seasonal Swings in Real Estate

Many industries are affected by seasonal swings. The real estate field is no different. Think about it. Investors, end users, and anyone connected to the real estate business are just like everyone else. They have families, traditions, and committments that change their priorities during the holiday seasons. Many take holiday vacations and many just use the time to regroup and lay the ground work for the coming year. And then there is the weather. Weather affects everything and everyone. For some its just a bad mood and for others it is a real impediment to their plans. Builders and developers, in particular, may find their business affected by winter weather issues. Productivity is certainly not at its peak when temperatures drop. In some parts of the word (rural America) a large number of men and women with firearms take advantage of the bleak weather to hunt their favorite trophy animal. Maybe its not that simple, but I don't know anyone who can conclusively pinpoint the exact cause of the decline of the real estate market during the winter months. It's not that the market goes away, it just slows down and waits for all the players to return to the playground. So, don't despair; the real estate market isn't dead. It's just taking a short vacation...just like the rest of us.

No comments: