Realtor Organizations to Change their Home Statistics

According to Inman News, the National Association of Realtors, the Florida Association of Realtors, and Case-Schiller are working on changing the way they track real estate statistics. I have blogged multiple times how the statistics being released by these companies and others don’t really tell what’s going on in a market because they only report a single median home price (instead of tracking statistics of non-foreclosure, REO, and Short Sale sales seperately). They also don’t report foreclosure mix percentages which can lower or raise the single median home price.  We already report the most comprehensive local market statistics available ANYWHERE on our Statistics Dashboards.

From the article:

“The National Association of Realtors and most state and local Realtor associations currently track median home prices. But indexes that track median home price don’t necessarily provide an accurate picture of what’s happening to the value of housing, Florida Realtors said.

That’s because changes in median home price may reflect a change in the mix of housing sales, rather than an underlying trend in housing values. An increase in the proportion of sales at the lower end of the market, including distressed property sales, may push down median home price, for example. Conversely, an an increase in median home price may reflect increased sales of larger, more luxurious properties, rather than appreciating home prices, the trade group noted.”