From the UO.com FYI webpage: "We have found an uncommon bug with the Gingerbread house that causes it to break/disappear when it is redeeded. It is unlikely we'll get a fix out before the holidays, so please avoid redeeding your Gingerbread house at this time."

So in case you have a Gingerbread house and were planning to redeed it, please wait for an official announcement that the bug has been fixed.