Property Dashboard - Southland
The Southland property market continues to be challenging as almost all of the 3 indicators are in the red zone, with this subdued level of activity being of great concern for sellers. Buyers on the other hand may equally be concerned as to the trend in prices which continues to fall, leaving a difficult decision as to whether to act now or endeavour to forecast future trends. In terms of indicators this is a market distinctly favouring buyers.
The pace of the market continues to remain subdued with a further weakening in September to a 10.3% clearance rate from 10.7% in August. At the same time as a result of this slow pace of the market inventory levels remain high at 42.0 weeks up on the August level of 40.4 weeks of equivalent inventory based on the current rate of sale. The trend in prices remains negative with a year-on-year fall of 4.2% , although this did represent a small improvement from 4.9% fall in August. The market has now marked the first anniversary of consecutive price falls.
Latest Property Dashboard - October 2014
12 months prior - October 2013
Archived Property Dashboards:
Notes on Dials and Data:
The Inventory indicates the level of available properties for sale at the end of the prior month, relative to the rate of sale of properties in the month. Thereby indicating that based on this rate of sale, how long it would take to sell all the stock of houses.
It is expressed in terms of weeks of available inventory. The number of properties on the market is the actual at the end of the prior month. The sales are the seasonally adjusted sales in the prior month
For example if there are 900 properties on the market and the sales in the month total 150 then the inventory will be 26 weeks - meaning if that rate of sale continued it would take 26 weeks (6 months) to sell all the properties.
The Pace indicates the rate of sale, in other words how active the market is.
This is measured as a clearance rate. It is the proportion of properties on the market that are sold in the month. The measure of sales is the 12 month moving average. The properties on the market is the actual number at the end of the prior month.
The source data is the REINZ property sales data and the Realestate.co.nz monthly Property Report
For example with 900 properties for sale on the market and sales on a 12 month moving average of 150 the clearance rate is 16.7%
The Price movement is the variance expressed as a % of the current month's price vs. the same month a year earlier.
The source data is the REINZ median sales price for provincial regions with the Stratified Median Price Index for the 3 main cities. The variance is based on a 12 month moving average price.
The range is set to reflect the 2% Policy Target of the Reserve Bank being the vertical position of the dial.