[M21er]

Democorruptcy, on 27 April 2012 - 05:39 PM, said:

Cracking effort well done.

I don't know if this was mentioned before re the summary report but should you include an inflation adjustment on the winnings? The percentage returns from properties bought in the 90's seem a bit misleading. They could have made more with the money in the bank. They may have saved on rent but does the mortgage interest and fees perhaps cancel that out?

Hi Democorruptcy

That's a good suggestion - It does make sense to adjust the original purchase price for inflation in the intervening period.

A quick scan of ONS indicates that the CHAW series of RPI ( All Items ) is probably most appropriate. I'll see if I can do something.

M21er


( Hat Tip: This was also suggested to me in a PM by Roger196 back in March but I haven't got round to implementing it )

M21er

This post has been edited by M21er: 27 April 2012 - 07:42 PM

[Zanu Bob]

M21er, on 27 April 2012 - 07:41 PM, said:

Hi Democorruptcy

That's a good suggestion - It does make sense to adjust the original purchase price for inflation in the intervening period.

A quick scan of ONS indicates that the CHAW series of RPI ( All Items ) is probably most appropriate. I'll see if I can do something.

M21er


( Hat Tip: This was also suggested to me in a PM by Roger196 back in March but I haven't got round to implementing it )

M21er

have to say I prefer nominal prices.inflation hits people differently.

[M21er]

Zanu Bob, on 28 April 2012 - 10:06 AM, said:

have to say I prefer nominal prices.inflation hits people differently.

ZB

I would still include nominal for every lot as now

I'm thinking I would also include an inflation-adjusted purchase price for those purchases earlier than say 2005?

Looking at the yearly average index from RPI All Items, the price level has increased by ~60% since 1995


1995 149.1 57.75%
1996 152.7 54.03%
1997 157.5 49.33%
1998 162.9 44.38%
1999 165.4 42.20%
2000 170.3 38.11%
2001 173.3 35.72%
2002 176.2 33.48%
2003 181.3 29.73%
2004 186.7 25.98%
2005 192.0 22.50%
2006 198.1 18.73%
2007 206.6 13.84%
2008 214.8 9.50%
2009 213.7 10.06%
2010 223.6 5.19%
2011 235.2 0.00%

Once setup, I can easily include lots of analysis about each auction result - I need to be careful not to include too much information which detracts from the core result - A profit or loss in actual cash terms.

M21er


Edit: Grammar & Spelling etc

This post has been edited by M21er: 28 April 2012 - 12:12 PM

[Redcellar]

Excellent job thank you.
I actually read it all which is quite amazing for me and showed how engrossed I was

NW seems to be having lots of 50% reductions is what I can see, well at least for the 'average' or common properties (terraces etc). The highly desirable properties keep their value better of course.

Also noted the unsolds even where the guide prices were met, seems odd they had a reserve greater than guide price. Why on earth would that happen?