Proprietary Intelligence System

MERIDIAN PROPRIETARY
INTELLIGENCE FRAMEWORK™

A market intelligence system built around five proprietary indicators — each designed to measure a distinct dimension of housing market behavior. Together, they provide a comprehensive view of market conditions, momentum, and direction.

The System

Five Indicators.
One Intelligence System.

Real estate decisions should be driven by insight, not guesswork. The Meridian Intelligence Framework™ translates complex market data into five clear, actionable indicators — each measuring something different, all working together to reveal what the market is actually doing.

AVS
Measures demand intensity.
YSS
Measures supply pressure.
IPI
Measures investor positioning.
MMI
Measures market momentum.
MCC
Market Cycle™

Each indicator captures a different signal. When read together, they form a complete picture — not just what's happening, but where the market is headed and why.

Indicator 01
AVS

Absorption Velocity Score™

The Absorption Velocity Score™ measures the rate at which available inventory is being absorbed by the market. It tracks how quickly homes are going under contract relative to available supply — providing a real-time view of buyer demand intensity.

When the AVS™ is high, demand is outpacing supply and the market is tightening. When it's low, inventory is sitting longer and buyers have more leverage. This indicator helps identify shifting conditions before they appear in median price data or standard market reports.

Measures pace of inventory absorption
Identifies demand intensity shifts in real time
Reveals buyer vs. seller leverage before price trends confirm
What It Measures

Demand Velocity & Inventory Absorption

The AVS™ tracks the relationship between new listings, pending sales, and active inventory to calculate how quickly the market is absorbing available homes. A rising score signals increasing buyer urgency; a declining score suggests the market is loosening.

High Absorption Tight Market
Moderate Absorption Balanced
Low Absorption Loose Market
What It Measures

Yield Potential & Supply Pressure

The Year-over-Year Supply Score™ evaluates the trend in available inventory over time. It helps identify markets where supply is contracting — creating opportunity — or where oversupply is building — creating risk.

Supply Side

Active inventory levels, new construction pipeline, listing velocity

Yield Side

Rental yield trends, cap rate movement, income potential signals

Indicator 02
YSS™

Year-over-Year Supply Score™

The Year-over-Year Supply Score™ measures long-term supply pressure and inventory trend direction. It reveals how supply conditions are evolving over time — identifying markets where tightening inventory may signal future pricing pressure, or where growing supply may create risk.

For investors and strategic buyers, this indicator provides insight into which markets offer the strongest combination of limited supply and attractive yield. For sellers, it helps identify when supply dynamics are working in their favor — or when the balance is shifting.

Evaluates supply-demand balance at the market level
Identifies yield compression or expansion trends
Highlights supply-driven opportunity and risk zones
Indicator 03
IPI

Investor Positioning Index™

The Investor Positioning Index™ measures investor attractiveness and capital positioning within a given market. It tracks where institutional and private capital is flowing — and signals when investor sentiment is shifting ahead of broader market moves.

Investor activity often leads consumer activity. When capital starts moving into or out of a market, it signals a change in conviction that hasn't yet shown up in pricing, inventory, or media coverage. The IPI™ helps you see those shifts early.

Tracks capital deployment patterns and investor sentiment
Identifies early-stage market conviction shifts
Reveals where smart money is positioning for the next cycle
What It Measures

Capital Positioning & Investor Conviction

The IPI™ synthesizes transaction data, portfolio allocation trends, and capital flow indicators to assess how aggressively investors are positioning in a given market or sub-market. Rising IPI™ scores signal increasing investor conviction.

IP
Capital Inflow Accelerating
IP
Stable Positioning
IP
Capital Outflow / Caution
What It Measures

Market Strength & Directional Movement

The Meridian Market Momentum Index™ is a composite signal that blends multiple data streams — price trends, volume shifts, days-on-market movement, and listing activity — into a single directional reading. It answers the most important question: is the market gaining strength or losing momentum?

Strengthening

Multiple indicators aligning upward — prices rising, volume increasing, days-on-market declining

Neutral / Transitional

Mixed signals — some indicators strengthening while others stabilize or decline

Weakening

Multiple indicators declining — prices softening, volume falling, days-on-market rising

Indicator 04
MMI™

Meridian Market Momentum Index™

The Meridian Market Momentum Index™ measures overall market momentum and directional strength. Rather than focusing on a single metric, the MMI™ combines multiple signals to produce a composite reading of whether the market is accelerating, stabilizing, or decelerating.

Headlines often focus on price alone. But momentum is the product of many forces working together. The MMI™ captures the full picture — giving you a more accurate read on what's happening and what's likely to come next.

Composite signal blending multiple market data streams
Identifies directional shifts before they become trends
Provides a more complete picture than price data alone
Indicator 05
MCC

Market Cycle™

Market Cycle Classification™

The Market Cycle Classification™ tracks where markets are positioned and where they are moving. Every market moves through a cycle — expansion, peak, correction, contraction, and recovery. Knowing which phase a market is in helps you make decisions aligned with the environment, not against it.

This indicator draws on the other four signals in the framework to classify the current phase and forecast the likely direction of transition. It's the culmination of the system — the indicator that brings all the intelligence together into a single strategic read.

Classifies the current market phase with precision
Integrates all four indicators into a strategic reading
Signals likely phase transitions before they fully develop
The Five Phases

Cycle Classification Stages

1
Expansion

Demand rising, supply tightening, prices increasing with momentum

2
Peak

Growth slowing, inventory beginning to build, price appreciation plateauing

3
Correction

Demand declining, prices adjusting, buyer leverage increasing

4
Contraction

Market stabilizing at lower levels, reduced activity, cautious sentiment

5
Recovery

Demand returning, inventory normalizing, early signs of renewed momentum

The System

How The Framework
Works Together

No single indicator tells the whole story. The power of the Meridian Intelligence Framework™ lies in how the five indicators interact — each one adding a layer of context that strengthens the overall reading.

Step 1

Individual Signal Analysis

Each of the five indicators is measured independently, capturing its specific dimension of market behavior — absorption, yield, investor activity, momentum, or cycle position.

Step 2

Cross-Indicator Synthesis

The indicators are then read together. When multiple signals align, confidence in the reading increases. When they diverge, it signals complexity that requires deeper analysis.

Step 3

Strategic Intelligence Output

The result is a structured, actionable intelligence reading — not just data, but interpretation. What does this mean for your decision? What is the market telling us? Where is the opportunity?

"Opportunity leaves clues. The framework is how we read them."
— Jana Fariss

Request A Meridian
Intelligence Brief

Every Meridian Intelligence Brief™ is built using the framework — delivering a structured analysis of current market conditions, momentum signals, and strategic positioning for your specific area of interest.

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