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Originally Posted by newts
He is correct as it pertains to reporting sale to list price ratio. It is based on the list price of when the property sold. But we can also run sale to original list price ratio, and we can also run total days on market with relists. It just comes down to how you want to run the info, and obviously on how you want to report things. There's nothing deceptive about that stat. That's how it gets reported in good markets as well.
What I don't understand, is why he is correlating that stat to the average price. They are unrelated. The average price for February month to date is actually up 1.64%, and a factor affecting that is the number of luxury properties that have sold in February. For example, by feb 12 there had been 19 luxury properties sold in Feb vs 8 MTD prior year (1mm+). That's going to skew the data.
Broad, city wide statistics often don't tell the true story. Trends vary in different neighborhoods and different price ranges. The data is at every realtors fingertips. CREB reports broadly because they are reporting for the broader market, which is what you'd expect. They could cut the info much finer, but I'm sure that it would make it harder for joe public to interpret.
There's no secrets here in how things are reported. In order to pull a trend for a specific situation or a specific neighborhood, that info is available. I did a listing presentation today and my pricing recommendation was about 7% lower than what it would have been last year, because that's what the stats are pointing at for the specific trading area I was analyzing.
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Thank you for such a detailed reply. I am frustrated CREB won't respond to me, but as a non-member, I guess they are not obligated too.