BNZ predictions...Graph Shows Future House Price Movement!

Heres an excerpt fron the latest great BNZ report, produced by the charming Tony Alexander. Tony is a fun & generous speaker I have heard on occasion over the years. Worth subscribing at http://www.bnz.co.nz
It includes a really useful graph I have never seen before. It looks really useful, once you extrapolate it!


“ Housing Market Rising As Expected
The highlight of the week as far as housing activity goes was the monthly REINZ report released on Monday. It showed that in rough seasonally adjusted terms sales of dwellings fell by about 5% in August butat 5,878 were ahead a still strong 39% from a year ago. One can easily put the small easing in sales activitydown to the frequently reported shortages of listings – and because listings are in short supply it is no surprise that the average number of days taken to sell a dwelling fell even further in August.
50000
This measure now sits at 34 days from 37 in July and 55 a year earlier. This puts the speed of sales back
practically at the 33 of August 2007 and the August result is 3.7 days faster than average for the month. In July the days to sell measure was 2.8 days below average while June was above average by 0.9 days.
And so, with sales constrained by a vendor shortage, it is no surprise that prices continue to go up. The stratified measure put together by the Reserve Bank shows that on average prices in August were up 1.2% after rising 1.0% in July. Prices have now on average recovered 5.9% from their low point back in January
and sit 2.6% up from levels a year ago and only 6.2% down from the peak reached in November 2007.

Page 7
So where are prices going from here? Simply look at the graph below and the answer is as obvious now as it has been for all but the most biased for some time.”

Tony has here the most cool graph! You have GOT to go look!(Colin)


It shows whats going to happen to house prices!
If you are like me it will take thought to figure what that plunging "price movement" line means...but when you do! Golly Gosh!..... Buy now…in fact you should have bought in January! Go to http://www.bnz.co.nz/binaries/w170909.pdf , page 7, to see!