What Is a House Price Index?

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A house price index tracks changes in residential property prices over time and is widely used to monitor housing-cycle conditions.

In Short

A house price index is one of the simplest ways to see whether the housing market is rising or falling.

How It Is Used

It is most useful when read alongside interest rates, incomes, and mortgage conditions.

How To Read It

Methodologies differ across countries. It is important to distinguish between the level of prices and the speed of price growth.