The MLS® Home Price Index, or HPI, is for homes the way that the Consumer Price Index is for consumables. They both measure the rate of price changes.
This includes things like living area, basements and garages plus features like proximity to schools, shopping and hospitals. The MLS® HPI compiles data on a neighbourhood’s typical home with the features most common in that area and then assigns a benchmark price.
REALTORS® use this to provide a more accurate picture of price trends in residential markets by combining this detailed comprehensive pricing information with their knowledge, expertise, and skills to help consumers approach buying or selling a home with greater confidence.
By tracking the changes in the MLS® HPI over time, it allows the consumer to see the bigger picture and understand how these trends can affect home prices for the local market. It also provides insight into specific housing categories in the overall market or a given neighbourhood.
The MLS® HPI can help your REALTOR® gauge changes in housing prices over time, including changes in:
