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Home Values Drop 8 Percent in 2008

Discussion in 'Real Estate' started by Chris C, 16th Feb, 2009.

  1. Chris C

    Chris C Well-Known Member

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    Australian home values dip 8pct in 2008 | The Australian

     
  2. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    ... okay - let's look at their numbers:

    Perth: -7.9% (houses), -4.7% (units)
    Darwin: +5.5% (houses), +20.5% (units)
    Canberra: -6.7% (houses), -2.6% (units)
    Sydney: -4.2% (houses), -3.8% (units)
    Melbourne: +0.9% (houses), -1.5% (units)
    Brisbane: +0.4% (houses), -6.5% (units)
    Hobart: -0.4% (houses), -7.1% (units)
    Adelaide: +2.9% (houses), +2.7% (units)

    So if no single city had a fall of 8% or more, how the heck does their average fall add up to -8% ?

    That claim of an 8% fall is just plain wrong by their own figures.
     
  3. Chris C

    Chris C Well-Known Member

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    Yeah I mentioned that in another thread. My only thinking is that they somehow factored inflation into their argument and assumed that given housing prices didn't appreciate at least at the rate of inflation this represents a real loss.

    Though I do agree the numbers don't add up and they don't offer any clarification as to why...
     
  4. 02bsure

    02bsure Well-Known Member

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    can only mean that outside the major cities prices fell by a good deal more than 8%
     
  5. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    No, it can't "only mean" that - there is a very real possibility that the journalist writing the report simply got it wrong.