Published:
05/07/2002
Attachments:
Working Paper 02-2
Author(s): Michelle H. Dreiman, and Anthony Pennington-Cross
Abstract: This paper discusses alternative methods of increasing the precision of weighted repeat sales house price indices. Evidence is found that adding the dimensions of price tiers and asymmetry to the variance estimate has merit and does affect the estimated index as well as homeowner equity estimates. Homeowner equity estimates are especially sensitive to these added dimensions because they depend on both the revised index and the estimated variances, which are specific to each dimension considered—time between transaction, asymmetry, and price tier.