NZQA registered unit standard / 28385version 1
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Title / Demonstrate understanding of the residential property market and the impact on residential property lending
Level / 5 / Credits / 5
Purpose / People credited with this unit standard are able to:
–demonstrate understanding of the effect of economic, political, demographic, and geographic factors on the market for residential property
–explain key residential property concepts that impact property values and availability of lending and
–demonstrate understanding of participants in the residential property market.
Classification / Financial ServicesFinancial Services - Professional Practice
Available grade / Achieved

Explanatory notes

1References

Anti-Money Laundering and Countering Financing of Terrorism Act 2009;

Code of Banking Practice;

Consumer Guarantees Act 1993;

Fair Trading Act 1986;

KiwiSaver Act 2006;

Reserve Bank of New Zealand Act 1989;

Responsible Lending Guidelines. Published by Financial Services Federation, Wellington, 2011. Available at

other relevant industry codes of practice;

and all subsequent amendments and replacements.

2Range

Assessments requiring application or demonstration of skills and knowledge may be performed using workplace evidence or evidence derived from simulation or scenario based activities.

All activities must comply with legislation, regulations, and best practice, including any guidance notes published by the agency responsible for the relevant enactment or code.

Outcomes and evidence requirements

Outcome 1

Demonstrate understanding of the effect of economic, political, demographic, and geographic factors on the market for residential property.

Evidence requirements

1.1Explain the effects of the economic environment on the residential property market in terms of impact on capital value.

Rangeeconomic environment includes but is not limited to – interest rates, monetary policy, inflation, supply and demand, net migration, employment trends.

1.2Describe the effects of political factors on the residential property market in terms of impact on capital value.

Rangepolitical factors include but are not limited to – fiscal policy, migration policy, planning and resource regulation.

1.3Describe the effects of demographic and geographic factors on the residential property market in terms impact on capital value.

Rangedemographic and geographic factors include but are not limited to – features of location, tenant types, types of property.

Outcome 2

Explain key residential property concepts that impact property values and availability of lending.

Evidence requirements

2.1Explain concepts relating to properties in terms of their impact on property values and availability of lending.

Rangeconcepts include but are not limited to – status/type of title, type of property, unique features of each property.

2.2Explain concepts relating to borrowers in terms of their impact on availability of lending.

Rangeconcepts include but are not limited to – purpose of borrowing, legal structure of borrower.

Outcome 3

Demonstrate understanding of participants in the residential property market.

Evidence requirements

3.1Explain the roles and responsibilities of participants in the residential property market.

Rangeparticipants include but are not limited to – lender, mortgage adviser, solicitor, registered valuer, real estate agent, conveyancer, accountant, insurance adviser, property manager.

Planned review date / 31 December 2017

Status information and last date for assessment for superseded versions

Process / Version / Date / Last Date for Assessment
Registration / 1 / 19 February 2015 / N/A
Consent and Moderation Requirements (CMR) reference / 0003

This CMR can be accessed at

Please note

Providers must be granted consent to assess against standards (accredited) by NZQA, before they can report credits from assessment against unit standards or deliver courses of study leading to that assessment.

Industry Training Organisations must be granted consent to assess against standards by NZQA before they can register credits from assessment against unit standards.

Providers and Industry Training Organisations, which have been granted consent and which are assessing against unit standards must engage with the moderation system that applies to those standards.

Requirements for consent to assess and an outline of the moderation system that applies to this standard are outlined in the Consent and Moderation Requirements (CMR). The CMR also includes useful information about special requirements for organisations wishing to develop education and training programmes, such as minimum qualifications for tutors and assessors, and special resource requirements.

Comments on this unit standard

Please contact The Skills Organisation if you wish to suggest changes to the content of this unit standard.

The Skills Organisation
SSB Code 100401 / New Zealand Qualifications Authority 2018