Case-Shiller U.S. Real Home Price Index, P/E, P, E - Monthly
Chart Description
The Real Home Price Index in this chart is from Case-Shiller U.S. Real Home Price Index - Monthly. The Real OER Earnings is from the Shelter component (an Owners Equivalent Rent (OER) estimate) from U.S. CPI Housing Components - Monthly. The P/E is the price-to-earnings ratio calculated by dividing the Real Home Price Index by the Real OER Earnings. This P/E is like a stock P/E. While, the actual P/E values aren't meaningful (since the Real Home Price Index values and the Real OER Earnings values aren't scaled the same way), the shape of the P/E line is meaningful. Higher P/E values imply high homes are more highly valued and lower P/E values imply homes are less highly valued. The P/E ratio values are scaled such that the last data point has a value of 1.
Data Source Links
mccormick-charts.com: Case-Shiller U.S. Real Home Price Index - Monthly, U.S. CPI Housing Components - Monthly
Context Links
mccormick-charts.com: Real S&P 500 P/E, P, E - Monthly
external: Case Shiller Index, price-to-earnings ratio
