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HOME PRICE INDEX

The Toronto Real Estate Board (TREB), Canadian Real Estate Association (CREA), and four other major real estate boards across Canada have developed a new system to measure home prices and home price growth: the MLS® Home Price Index (MLS® HPI). The MLS® HPI is calculated using a sophisticated statistical model that takes into account a home’s quantitative (e.g., the number of rooms it has) and qualitative (e.g., whether it has a finished basement) features.

The MLS® HPI traditionally is less volatile than average and median measures, which can swing dramatically in response to changes in the number of very expensive or inexpensive home sales from one time period to the next.

FEBRUARY 2019


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