Focus area

Scenario Planning

Definitions

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Indicator Definitions

Guidance for each indicator by signal color.

Indicator Type Green (High Economic/Market Growth) Amber (As Expected) Red (Low Growth)
Inflation Monthly RBA target (2% - 3%) Volatile but near forecast (3% - 4%) Below 2% or above 4%
House Prices Last 3 monthsGrowth above 2.1% in the last 3 monthsGrowth between 1.2% - 2.1%Growth less than 1.2% in the last 3 months
Vacancy Rate MonthlyBelow 1.3%1.3% - 1.7%Above 1.7%
Auction Clearance Rate MonthlyAbove 70%60% - 70%Below 60%
RBA Cash Rate MonthlyBelow 3.6%3.6%Above 3.6%
Builder Insolvencies MonthlyBelow 150 a month150 - 250 a monthOver 250 a month
Unemployment MonthlyBelow 4.3%4.3% - 4.5%Above 4.5%
Regulatory scrutiny (announcements log) AnnualLow intensity of regulatory changesModerate pace of announcementsHigh frequency / stringent regulatory changes
Market Health MonthlyNo new major failuresIsolated instancesMore instances of redemption freezes or failures
Average Loan Margins MonthlyCompressing marginsStable marginsExpanding margins
Pre-Sales MonthlyLow or no pre-salesStable requirementsPre-sale requirement increases
Broker Sentiment MonthlyBrokers report aggressive terms and new playersCautiously optimisticBrokers report competitors pulling back or collapsing