Tuesday: DC Links

Image: A slumlord lives in this $1M home in NW DC. Photo courtesy of Washington City Paper.

  • Jughead

    OK, I’m a newbie and don’t get what the Case-Shiller Index is and why I should care. Can you shed some light?

  • http://washingtondc.redfin.com/blog Kira

    Good question. Here’s how the Index is defined on Wikipedia:

    “The S&P/Case-Shiller Home Price Indices measure the nominal value of the residential real estate market in 20 metropolitan regions in the United States.[1][2] The indices use repeat sales pricing technique to evaluate the housing markets. The approach, developed by economists Karl Case, Robert Shiller and Allan Weiss, uses data on single-family home re-sales, and re-sold sale prices to form sale pairs. This index family includes 20 regional indices and two composite indices as aggregates of the regions.

    The indices are calculated monthly and published with a two month lag on the last Tuesday of every month.

    The S&P/Case-Shiller U.S. National Home Price Index is a composite of single-family home price indices for the nine U.S. Census divisions, calculated quarterly.”

    It is pretty much THE measuring stick for how the real estate market is performing. I linked to a “Barron’s” article based on the latest Index report here: http://washingtondc.redfin.com/blog/2008/07/tuesday_dc_links-3.html.

    Thanks for stopping by!

  • Jo Ann Tobias

    Thank you for clearing that up, I did not know what that was either….and I’m in real estate!

  • http://washingtondc.redfin.com/blog Kira

    Hi Jo Ann,

    No problem. For some reason, it didn’t even occur to me to explain what it is, despite the fact that I was just recently introduced to it myself!

    Always nice to hear from you! Thanks for stopping by.