Example:

If housing market on the February 2013 went up by 2% compare with January 2013, that means the Real Estate Index value in February 2013 will be 2% greater than January 2013.

If the value of Real Estate Index in January 2013 = 100, then Real Estate Index in February 2013 = 102, that is 2% increase.

If the value of Real Estate Index in January 2013 = 200, then Real Estate Index in February 2013 = 204, that is 2% increase.

If the value of Real Estate Index in January 2013 = 1000, then Real Estate Index in February 2013 = 1020, that is 2% increase.

Real Estate Index could have different values, it all depends at what value they started and when they started. but they always truck the increase or decrease of housing market percentage wise.

Let's do three abstract examples based on 2% increase in Real Estate Index value (January 2013 to February 2013)

Property number 1 valued at $ 895,000.00 in January 2013 = $ 912,900.00 in February 2013

Property number 2 valued at $ 320,000.00 in January 2013 = $ 326,000.00 in February 2013

Property number 3 valued at $ 2,100,000.00 in January 2013 = $ 2,142,000.00 in February 2013

Real Estate Index could help in calculating the fair price of property.

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Real Estate Statistics using Real Estate Index.

US Real Estate Composite 20 Index* value - 136.6 January 2012 to 147.86 January 2013 - that is an increase 8.24 % PA

New Zealand Real Estate Index value - 406.73 December 2011 to 432.67 December 2011 - that is an increase 6.38 % PA

Sydney Real Estate Index value - 300.02 December 2011 to 4312.50 December 2011 - that is an increase 4.16 % PA

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