Research Discussion Paper – RDP 2006-04 Measuring Housing Price Growth – Using Stratification to Improve Median-based Measures

Contents

• Introduction
• The Impact of Compositional Change on Median Price Measures
• Stratification
• A Measure of Average Price Changes which Controls for Compositional Changes
• Assessing the Mix-adjusted Median
• Conclusion
• Appendix A: Using the Information in Individual Strata – Assessing the Strength of Intra-versus Inter-state Influences
• References
• Copyright and Disclaimer Notices

The authors thank Luci Ellis, James Hansen, James Holloway, Christopher Kent, Kristoffer Nimark and participants at an internal RBA seminar for helpful comments, and Australian Property Monitors for compiling the raw data used in this paper. The views expressed in this paper are those of the authors and should not be attributed to the Reserve Bank.