HOUSTON (HousingMarket.com) – The end of the summer often marks a turning point in any typical U.S. housing market.
As the temperatures start to cool and kids head back to school, the market seems to lose some of its steam in anticipation of the slower winter season. However, this year, real estate experts feared that several major U.S. housing markets would come to a screeching halt.
As Hurricane Harvey parked itself over Houston and Hurricane Irma threatened to make a direct hit on Florida, there was the potential that these natural disasters would create financial and economic disasters in some of the hottest real estate markets in the country.
The Potential for Disaster
As meteorologists flocked to Texas and Florida to chart the path of the storms and the possible impact that these hurricanes would have once they made landfall, real estate experts and financial insiders considered what may happen to the real estate markets in these regions of the country. Both Texas and Florida had been enjoying record-setting markets throughout the year, particularly during the summer months. Yet just as new home construction and real estate development was hitting its peak, these monstrous hurricanes threatened to demolish the properties that existed already.
Potentially, these storms could have halted the activity in the real estate market.
Harvey was set to bring with it record-setting flooding, and it exceeded the expectations of those who tried to predict what would happen. Not only would homeowners not be ready to list their homes, but far too many would be focused on the process of drying out and rebuilding after the storm. In addition, buyers would not be ready to go looking at real estate, not when all of their friends and neighbors are working on retaining some sense of normalcy again.
In Florida, real estate experts worried that Irma would decimate the burgeoning development that was taking place throughout the state. As the first hurricane to make direct landfall on Florida in years, the real estate market throughout the entire state was bound to be effected.
Houston Housing in the Wake of Hurricane Harvey
When Harvey parked itself over Texas, more homes than anyone ever imagined possible were flooded. A recent article published on CNBC noted that 1.18 million mortgaged homes were flooded during Hurricane Harvey, and there’s a high probability that many of those property owners will not be able to make their payments as scheduled in the wake of this disaster.
While financial experts try to determine how much of an impact Harvey will have on the mortgage industry in Texas, real estate experts are reporting that housing markets in Houston and beyond are still booming. According to an article published on The Real Deal, some buyers are looking for great deals on homes that experienced flooding, while those that were not impacted by flooding are in very high demand.
Hurricane Irma and Its Impact on Florida Development
Many Floridians are breathing a sigh of relief in the wake of Hurricane Irma, which threatened to change the way of life in the Sunshine State for many years to come. As damage was not as significant as was anticipated, the real estate market has been relatively spared.
According to a recent CNBC article, experts do not feel that property values will be impacted. Given the comfortable year-round climate, the gorgeous homes and the attractions that are found in Florida, there’s often a high demand for real estate in the state.
Any housing market can be impacted by the weather, specifically severe weather events that can leave a community struggling to recover and discover their new normal once again.
Recent data appears to indicate that Hurricanes Harvey and Irma did not wreak permanent havoc on the booming housing markets in these regions, but concrete proof still remains to be seen.
Over the next few months, the true impact that these storms had on the housing markets in both Texas and Florida will be revealed.