Our Acadata Median House Price workbook (sample below) provides central prices for each region in England & Wales. Our
compares medians with arithmetic and geometric means.
The median is the middle value of a set of
numbers; half the numbers will fall below the median and half above. Medians at e.g. county/London borough and post code levels, and for Scotland, are also available.
Why Medians? Because median prices complement the arithmetic average price for the same region provided by our LSL Acadata E&W HPI. Furthermore, as a “middle” price,
a median price provides an alternative to the “conceptual” price of an average house provided by the Halifax and Nationwide indices and, we suggest, by the
UK HPI from the Office for National Statistics (ONS).
The geometric mean prices provided by the UK HPI comprise an average which dampens the effect of changes in the prices at the upper and lower price bounds for the
region compared with the arithmetic mean. This is why, in our
“UK House Price Index”
Briefing Note, we suggest that this may be best thought of as another conceptual price, aimed at the “price of an average house”. Whilst the lender indices are
long established and of enduring interest and the UK HPI is likely to become a National Statistic, we believe that readers using house price indices in decision
making should have prices which are fully understandable as an alternative to those based upon concepts whcih are imprecise using means to prepare them which are
far from simple.
In addition to regional median prices, our GB workbook shows upper and lower quartiles indicative of opposite ends of the market. We will also show median income
to median price (Affordability) ratios from time to time as may be appropriate. These will contrast with affordability measures using median incomes to average
house prices which compare two different arithmetic measures.
Regional E&W Medians Sample Data
For readers interested in median prices at lower geographies, we offer these monthly at postcode district level within our
Acadata Prices and Transactions (APAT) and AcaData Library service.