Posted to The Age (30/11/2011) on 4/12/2011 at 2:12 AM
Commenting on "Home price falls accelerate"
http://theage.domain.com.au/real-estate-news/home-price-falls-accelerate-20111202-1oa67.html
@John Br, many listings are poor quality listings, and they will be sitting there "Waiting for Goddard". Let’s look at 3 cases.
Case 1 - There are 10 new listings for each week over 4 weeks. If 10 listings are sold each week, by the end of week 4, there is no listing in the book.
Case 2 - There are 10 new listings for each week over 4 weeks. 5 listings are sold each week. End of week 1, 5 properties are carried over to week 2, and 5 more again for week 3. By the end of week 4, there are 20 listings on the book, or 40 minus 5x4. Theoretically, both cases have 40 listings. However, by end of week 4, Case 2 gives a false impression that there are more listings than Case 1.
Case 3 - Vendors may withdraw unsold properties from the market, but return later as "new" listings on the book. Unsold listings are unlikely to be accounted for in the Research.
Just be careful, some statistical data may be taken with a grain of salt.
Commenting on "Home price falls accelerate"
http://theage.domain.com.au/real-estate-news/home-price-falls-accelerate-20111202-1oa67.html
@John Br, many listings are poor quality listings, and they will be sitting there "Waiting for Goddard". Let’s look at 3 cases.
Case 1 - There are 10 new listings for each week over 4 weeks. If 10 listings are sold each week, by the end of week 4, there is no listing in the book.
Case 2 - There are 10 new listings for each week over 4 weeks. 5 listings are sold each week. End of week 1, 5 properties are carried over to week 2, and 5 more again for week 3. By the end of week 4, there are 20 listings on the book, or 40 minus 5x4. Theoretically, both cases have 40 listings. However, by end of week 4, Case 2 gives a false impression that there are more listings than Case 1.
Case 3 - Vendors may withdraw unsold properties from the market, but return later as "new" listings on the book. Unsold listings are unlikely to be accounted for in the Research.
Just be careful, some statistical data may be taken with a grain of salt.
