Proprietary Intelligence System

MERIDIAN PROPRIETARY
INTELLIGENCE FRAMEWORK™

Meridian Residential Intelligence™ is built upon five proprietary models that transform fragmented housing data into structured, decision-ready market intelligence. Together, the models evaluate demand velocity, supply and yield conditions, investment positioning, market momentum, and cycle direction. The framework is designed to replace uncertainty with greater clarity, helping subscribers recognize changing conditions, evaluate opportunity and risk, and respond with informed strategic action.

The System

Five Models.
One Intelligence System.

Real estate decisions should be driven by insight, not guesswork. The Meridian Proprietary Intelligence Framework™ translates complex market data into five clear, proprietary models, each measuring a distinct dimension of market behavior, all working together to reveal what the market is actually doing.

AVS
Measures demand velocity and inventory absorption.
YSS
Measures yield conditions and supply stress.
IPI
Measures relative investment positioning.
MMI
Measures market momentum and directional strength.
MCC
Classifies market-cycle position and direction.

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

Indicator 01
AVS

Absorption Velocity Score™

The Absorption Velocity Score™ measures the relationship between available inventory and the recent pace of completed sales to determine how quickly housing supply is being absorbed.

AVS™ identifies the strength of current buyer demand and the level of competitive pressure within a market. A higher AVS™ indicates faster absorption and stronger demand relative to available supply. A lower AVS™ indicates slower absorption and greater buyer choice.

Active inventory
Recent completed-sales pace
Months of supply
Demand intensity
Buyer-versus-seller leverage
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 & Supply Stress

Favorable YSS™ conditions indicate stronger estimated yield support relative to supply. Stressed conditions indicate that expanding supply or weaker income potential may be increasing market 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™

Yield & Supply Stress Intelligence™

Yield & Supply Stress Intelligence™ evaluates the relationship between estimated income-producing potential, available housing supply,and current market demand.

YSS™ identifies whether supply and yield conditions may support market resilience or create increasing pressure on investment performance.

Estimated rental-income potential
Price-to-rent relationship
Active inventory
New-listing pressure
Supply-and-demand balance
Indicator 03
IPI

Investor Positioning Index™

The Investor Positioning Index™ evaluates a market's relative investment position using pricing, estimated rental yield, inventory, absorption,and transaction-liquidity signals.

IPI™ identifies markets where measurable housing conditions may offer a more favorable balance of income potential,liquidity,and future opportunity.

A higher IPI™ reflects stronger relative investment positioning based on observed market fundamentals. IPI™ does not represent a direct measurement of investor purchases, investor sentiment, or capital flows.

Relative pricing position
Estimated rental yield
Inventory conditions
Absorption
Transaction liquidity
What It Measures

Relative Investment Positioning

The IPI™ evaluates a market's relative investment position based on observed market fundamentals such as pricing, estimated rental yield, inventory, absorption,and transaction liquidity. IPI™ does not represent a direct measurement of investor purchases, investor sentiment, or capital flows.

IP
Favorable Positioning
IP
Balanced Positioning
IP
Weak Positioning
What It Measures

Momentum & Directional Strength

Market Momentum Intelligence™ measures the strength and direction of market movement by evaluating changes in pricing,transaction activity,inventory,market time,and price-reduction behavior.

Strengthening

Multiple indicators are moving positively,reflecting improving demand,liquidity,or pricing support.

Neutral / Transitional

Market signals are mixed or comparatively stable,indicating limited directional conviction.

Weakening

Multiple indicators are deteriorating,reflecting softer demand,reduced liquidity,or increasing supply pressure.

Indicator 04
MMI™

Market Momentum Intelligence™

Market Momentum Intelligence™ measures the strength and direction of market movement by evaluating changes in pricing,transaction activity,inventory,market time,and price-reduction behavior.

MMI™ determines whether market conditions are accelerating,remaining stable,slowing,or beginning to reverse direction.

Pricing direction
Sales activity
Inventory movement
Days on market
Price-reduction behavior
Indicator 05
MCC

Market Cycle Classification™

MCC™

Market Cycle Classification™ synthesizes Meridian's intelligence models with pricing, supply, demand,and liquidity trends to classify each luxury market within its current housing-cycle phase.

MCC™ translates multiple market signals into a clear framework for understanding current conditions,probable direction,and the strategic implications of change.

Interpretation

Each Meridian Luxury Corridor™ is classified as Expansion, Stable Expansion, Peak, Correction, Contraction, or Recovery.

The Six Classifications

Cycle Classification Stages

01
Expansion

Demand is strengthening faster than available supply, supporting increased transaction activity and pricing power.

02
Stable Expansion

Demand, supply,and transaction activity are advancing at a sustainable and comparatively balanced rate.

03
Peak

Market strength remains elevated,but price appreciation or transaction momentum is beginning to moderate as inventory builds.

04
Correction

Supply is increasing relative to demand, creating longer market times, greater buyer leverage,or downward pressure on pricing.

05
Contraction

Transaction activity,demand,and pricing momentum are weakening while market liquidity becomes more limited.

06
Recovery

Demand and transaction activity are beginning to improve as excess inventory is absorbed and market momentum stabilizes.

The System

How The Framework
Works Together

No single model tells the complete story. The strength of the Meridian Proprietary Intelligence Framework™ comes from evaluating each signal independently and then interpreting how the five models interact. Alignment among multiple models increases confidence in the market reading. Divergence identifies complexity, transition, or conditions requiring deeper analysis.

Step 1

Individual Model Analysis

Each model independently evaluates a distinct dimension of market behavior: demand velocity, supply and yield conditions, investment positioning, momentum, or cycle classification.

Step 2

Cross-Model Synthesis

The five models are evaluated together. When multiple signals align,confidence in the market interpretation increases. When signals diverge,Meridian identifies the market as complex,transitional,or requiring additional analysis.

Step 3

Strategic Intelligence Output

The result is structured,decision-ready intelligence that explains current conditions,identifies meaningful change,and clarifies the strategic implications for buyers,sellers,investors,and real estate professionals.

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

Together, these five proprietary models form the Meridian Intelligence Engine™, a standardized framework for evaluating luxury residential markets with consistency, objectivity, and institutional precision.

Measuring Demand, Supply, Yield, Investment Positioning, Momentum, And Market Direction.

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.