Case Shiller to the Rescue
Posted 07-08-2009 at 01:25 PM by olecapt
[FONT="Comic Sans MS"]Ever wonder why Case Shiller? Well wonder no more. It is just pretty much the same old stuff you get from your local MLS.
Here is a plot of Case Shiller from 1990 versus the Las Vegas MLS data since 2000. This is the average MLS price and the CS index multiplied by the MLS January 2000 price. This is probably not the best match available but it seems sufficient. Delaying CS 45 days and dropping the base value a little would make an even better match. [/FONT]
[IMG]http://www.donohueteam.com/Realtor/REO%20Charts/CSvsMLS_Base%20Sheet%20(june%2009)_7818_image001.gif[/IMG]
[FONT="Comic Sans MS"]The Cash Shiller data is smoother much due to the 90 day average. It also is filtered which may not be such a good thing. There really was some event in late 2007. Case Schiller makes it vanish.
[B]The Chart Message [/B]
It appears obvious that the average price in Las Vegas has reached the 2000 level. It also appears stable there for the last four months. [/FONT]
Here is a plot of Case Shiller from 1990 versus the Las Vegas MLS data since 2000. This is the average MLS price and the CS index multiplied by the MLS January 2000 price. This is probably not the best match available but it seems sufficient. Delaying CS 45 days and dropping the base value a little would make an even better match. [/FONT]
[IMG]http://www.donohueteam.com/Realtor/REO%20Charts/CSvsMLS_Base%20Sheet%20(june%2009)_7818_image001.gif[/IMG]
[FONT="Comic Sans MS"]The Cash Shiller data is smoother much due to the 90 day average. It also is filtered which may not be such a good thing. There really was some event in late 2007. Case Schiller makes it vanish.
[B]The Chart Message [/B]
It appears obvious that the average price in Las Vegas has reached the 2000 level. It also appears stable there for the last four months. [/FONT]
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