According to the latest Redfin special report, Redfin economist Ellen Haberle is afraid all of the gridlock in Congress could erase progress made in the housing market this past year.

First, the government shutdown is robbing precious end-of-season selling time from home sellers. As we said in a special report this month, furloughed buyers across the country are stepping back from the housing market until their paychecks are restored. Washington, D.C. has been the hardest-hit; since the government shut down, the number of Redfin clients making offers on homes in the D.C. – area dropped 42 percent. Other buyers are throwing in the towel completely.

According to Redfin Washington, D.C. Agent Kimberly Pace, “With so much economic uncertainty, several of my clients just don’t think a home is a good investment right now and are pulling the plug on their home buying plans.”