17.82% Difference
According to TRREB the average price of single family residential real estate, which includes detached, semis, townhouses and condos went up 8.61%.
According to me, they went down 9.21%
That’s a 17.82% difference, or 18%, if you only go two digits!
Who’s right?
Me!
That’s because mine are accurate and TRREB’s are guesswork!
Let’s have a quick look at what TRREB said:
“The average selling price for 2022 was $1,189,850 3 up 8.6% compared to $1,095,333 in 2021. This growth was based on a strong start to the year, in terms of year-over-year price growth. The pace of growth moderated from the spring of 2022 onwards.”
They said average selling price! What kind of nonsense is that? They take all the numbers in 2021 at the end of the month, divide them by 12 and give you that number. Who cares, what sort of a number is that? They give you the same average price for 2022 and compare those two numbers. That will provide you with nonsense. If you do that, there is an 8.6% increase. There are actually 24 months that are taken into consideration in coming up with that performance. Well, it’s good. We would all like to see 8.6% increase over the year.
However, that’s not what I do. I give you all the real numbers. You can see what they are every month. No sleight of hand here!
The price on January 1 was $1,157,837 and the year ended up a $1,051,216, for a $106,621 loss. That works out to a 9.21% decline. The math works. Just check the numbers.
Now, when we go back to TRREB, they have to start off with …” …well we go back to 2021, then start averaging them out etc…..”.
My numbers are true and accurate mathematically. How well did the market do in 2022? There was a 9.21% decline. Naturally, I stick with 2022 from start to finish!
However, I reproduce the TRREB version and explanation, because you have to know what other people are thinking! Remember, many will think that there’s been an 8.6% increase, rather than a 9.21% decline.
Certainly, you will come across others in negotiations who believe that the market went up 8.61%.
Brian Madigan LL.B., Broker