First signs of a turning point in mortgagee sales
The month of June saw mortgagee sales fall for the first time since the global economic recession began more than. As the chart below shows, the year on year variance in sales has been consistently positive since way back in November 2007.
A total of 202 mortgagee sales were recorded in June, by no means a return to normal levels pre-recession when monthly totals were in the order of 50 per month, but certainly a slowing from the 289 recorded in June last year and the 264 last month. On a seasonally adjusted basis sales in June were down by 24% from the month earlier.
As the chart above shows the sales per month have been keeping pace with, but not greatly exceeding 2009 sales figures since February. In the first 6 months of 2010 there have been 1,231 sales as compared to 1,262 in the same period last year.
Delving deeper into the numbers shows some interesting trends, specifically in regard to regional representation. The chart below shows the percentage of mortgagee sales by region for the first 6 months of 2010 as compared to 2009.
Most noticeable is the lessening of the impact of the Auckland region which has gone from 45% to 37% of sales. Rising sales have been seen in the Waikato (9% to 14%), Northland (6% to 8%) and the Manawatu (3% to 6%). With both Wellington and Canterbury reducing their dominance of mortgagee sales, it would appear that the provinces are suffering a higher degree of mortgagee sales this year than the metropolitan regions.