A monthly analysis of the New Zealand housing market in April reveals the continuation of a recent trend towards the market becoming less negative.
The Mike Pero Mortgages-Infometrics Property Cycle Indicator (PCI) is released monthly, prepared from an analysis of changes in house sales, price movements and the time taken for properties to sell.
Mike Pero Mortgages Chief Executive Shaun Riley says the PCI fell to a negative 10.0 (-10) last September and stayed there until December. "The PCI still being below zero in April indicates the market is still in downturn," he says, "however it continued to become less negative in April and is now at -6.55 Mr Riley says sales volumes in April were down 4.2% on a year earlier. "That's a slightly stronger result than in March, as sales volumes in Canterbury/Westland started to show signs of recovery following February's earthquake," he says.
"The median house price dropped back $5,000 from March's high, but was still up 1.1% from April last year." Mr Riley says the third component of the PCI, the average length of time on the market for properties, was stable when compared with March (seasonally adjusted), and up three days from April 2010.
Mortgage rates were unchanged in April.
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