What is the MLS® HPI price?
Have you seen reference to the MLS® HPI price and curious what that is?
The MLS® Home Price Index (HPI) comes from the Canadian Real Estate Association (CREA) and it 'is the most advanced and accurate tool to gauge a neighbourhood’s home price levels and trends'.
Each month, the MLS® HPI uses more than a decade of MLS® System data to define a “typical” home based on the features of homes that have been bought and sold, and then estimates the value of that typical home to produce the MLS® HPI price.
How does it differ from Average/Median Sale Prices?
Average or median sale prices are useful tools for understanding the value of what sold during a specific period, but they can paint an inaccurate picture of value or trends for the overall market. Because the MLS® HPI price calculates the value of the typical home, when comparing values from different times, it offers a much better and representative comparison of values.
Interested in learning more about MLS® HPI price? Go here CREA.ca >>