Latest data for April mortgagee sales show no signs of a let up
The month of April saw 246 registered mortgagee sales in NZ, this represents an increase of 44 on the March figure and when adjusted for seasonal factors shows a true increase of 25% for the month; clearly signaling that the pressure of repossession by lenders and the subsequent mortgagee sale of properties continues even though the economy is on the road to recovery. These figures are compiled by Terralink International from data from the Land and Information department statistics of registered title transactions where the seller is the financial institution selling on behalf of the owner or mortgagee in default.
The chart above clearly shows that the level of mortgagee sales in 2010 is tracking at an almost identical rate to the levels of 2009. Whilst from an optimistic perspective it could be judged that the rate of increase has ceased, the absolute level continues to remain high, especially when compared to the long term averages pre-recesssion which is perfectly detailed in the chart below which compares the first 4 months (Jan – April) for each of the past 15 years.
Prior to this recession period of 2009 & 2010, the average monthly level of mortgagee sales across the country was 75 as compared to the average over the recent 24 months of 200 a month.
Examining the regional make up of these sales shows in the table below a decline in Auckland with some significant rises in provincial NZ especially in the Manawatu, Waikato, Northland and the Bay of Plenty.