Seattle Bubble Blog has been posting this chart for many months now as the Seattle market has been correcting along with all of the other bubble markets across North America. Vancouver is now no exception. Price declines are the steepest witnessed so far in North America and we shall see if this trend continues.
Thanks to Jesse for putting the chart together.
Is the detached benchmark comparable enough to the Case-Shiller metric to plot them on the same graph?
ReplyDeleteIt's the best measure to which we have access. In aggregate the benchmark is close to CSI because both do not quality adjust. CSI tracks same property sales while the benchmark uses hedonic methods, inputting data such as lot size and number of rooms, to estimate price of a typical property.
ReplyDeleteI can see intuitively the two have enough similarities they should track each other reasonably well. One of course must take as fact that both measures are produced in good faith.
You beat me to it Jesse, I was going to do the same when the September stats came out. Great presentation, keep up the good work.
ReplyDeleteWill update pic this evening to include Sept benchmark.
ReplyDeleteMaybe we are world class?
ReplyDeleteThat's the Olympic spirit alright...Faster, Higher, Stronger!
ReplyDeleteI must say, it is heartening to see Paul post here -- his own site is useful, and he is clearly a realist. And reality is the most important thing investment counsellors and RE agents need to be in touch with if they are to truly, ethically serve their clients. I know who I will call when buying Vancouver RE.
ReplyDeleteIs there a mistake on that chart? Is Miami and Boston legend transposed? I haven't heard anything about a recovery from a mild drop in Miami! Or is it the ocean and no olympics or mountains that make it different there.
ReplyDeleteMiami is the curve right next to Vancouver with the steepest decline. Boston is way over on the right.
ReplyDeleteIf you look really closely you will see Miami has a triple cross on its data points and Boston an ordinary cross.
Miami and Boston also have different colours. They are slightly different shades of orange.
ReplyDelete