Re-Examination of The Measurement of Residential Price Appreciation Through Repeat Sales and Medians*
Donald Epley, Director
Center for Real Estate & Economic Development
University of South Alabama
5811 USA Drive, MCOB Rm 359
Mobile, Al 36688-0002
Measuring price appreciation in residential housing remains a critical topic of academic research. The most popular method has been the use of repeat sales with a type of regression without much attention devoted to the assumptions and restrictions on the selection of the data. This paper discusses the critical issues that must be addressed in the use of repeat sales only and the median-to-median approach which relies on the use of all sales. Users need to remember that each uses different data to measure inflation that is infel1'ed to be the correct measure for the whole housing inventory.
Key words: repeat sales, median-to-median, residential appreciation, measurement
*This project was partially supported by a grant from the Appraisers' Research Foundation. They are not responsible for the content or opinions.