Case Shiller Median House Price vs Median Household Income
After clicking "Submit," be sure to mouse over the data points in the chart in order to see the detail. The black lines at the bottom of the chart are dates and numbers (too small to be legible) that are displayed in readable format when mousing over data points in the chart.
Case Shiller data courtesy of Standard & Poor's:
Case Shiller index does not provide median price informaiton. Therefore, to create the data in in this chart, MLS data was used to estimate median price values for each included metropolitan area and compared to median household incomes estimated by census.gov.
The Case-Shiller Index prices are measured monthly and tracks repeat sales of houses using a modified version of the weighted-repeat sales methodology proposed by Karl Case and Robert Shiller. This means that, to a large extent, it is able to adjust for the quality of the homes sold, unlike simple averages.
The monthly indices are normalized using a 3-month moving average. For example, the July 2007 index point is based on data for May, June and July of 2007. This is used to account for delays in sales-price data reporting and to get a larger sample size.
Median household income data courtesy of U.S. Census Bureau:
When the 2010 census is completed, median household income will most likely be adjusted slightly downward for recent years in order to account for the recession . Since the census estimates income yearly and not all years are available, housingcorrection.com has smoothed the data. Monthly data prior to 7/1/1989 is given as the exact census estimate for 1989. Monthly data after 5/1/2008 is represented as the exact census estimate for 2008. All data inbetween is smoothed to monthly increments based on available census data.