Accuracy and robustness of house price index methods

We evaluate the statistical properties of five different house price index methods withthe objective of identifying one that is most accurate and robust when estimated at frequent timeintervals and for distinctly local markets. We adopt a split-sample technique to establish a consistentbasis for com...

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Main Authors: Goh, M., Costello, Gregory, Schwann, G.
Format: Journal Article
Published: Routledge 2012
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/49280
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author Goh, M.
Costello, Gregory
Schwann, G.
author_facet Goh, M.
Costello, Gregory
Schwann, G.
author_sort Goh, M.
building Curtin Institutional Repository
collection Online Access
description We evaluate the statistical properties of five different house price index methods withthe objective of identifying one that is most accurate and robust when estimated at frequent timeintervals and for distinctly local markets. We adopt a split-sample technique to establish a consistentbasis for comparison of the different price index methods. Our results demonstrate that if suitabledata is available for estimation of price indexes, the arbitrary aggregation of data across time andgeography is not warranted. One model, the ‘hedonic imputation’, outperforms alternative modelson all measures of accuracy and robustness. Differences in levels of accuracy between differentmodels are found to be statistically significant.
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institution Curtin University Malaysia
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publishDate 2012
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spelling curtin-20.500.11937-492802017-03-15T22:56:27Z Accuracy and robustness of house price index methods Goh, M. Costello, Gregory Schwann, G. House price index hedonic imputation model mix-adjusted median model - hybrid model repeat-sales model hedonic model We evaluate the statistical properties of five different house price index methods withthe objective of identifying one that is most accurate and robust when estimated at frequent timeintervals and for distinctly local markets. We adopt a split-sample technique to establish a consistentbasis for comparison of the different price index methods. Our results demonstrate that if suitabledata is available for estimation of price indexes, the arbitrary aggregation of data across time andgeography is not warranted. One model, the ‘hedonic imputation’, outperforms alternative modelson all measures of accuracy and robustness. Differences in levels of accuracy between differentmodels are found to be statistically significant. 2012 Journal Article http://hdl.handle.net/20.500.11937/49280 Routledge restricted
spellingShingle House price index
hedonic imputation model
mix-adjusted median model
- hybrid model
repeat-sales model
hedonic model
Goh, M.
Costello, Gregory
Schwann, G.
Accuracy and robustness of house price index methods
title Accuracy and robustness of house price index methods
title_full Accuracy and robustness of house price index methods
title_fullStr Accuracy and robustness of house price index methods
title_full_unstemmed Accuracy and robustness of house price index methods
title_short Accuracy and robustness of house price index methods
title_sort accuracy and robustness of house price index methods
topic House price index
hedonic imputation model
mix-adjusted median model
- hybrid model
repeat-sales model
hedonic model
url http://hdl.handle.net/20.500.11937/49280