New Jersey, National Realtors Issue Correction to Incorrect Data

WASHINGTON — Following is a statement from the Research Division of the National Association of Realtors® regarding revised data for first-quarter New Jersey existing-home sales published last month, which reported erroneous sales data:
On May 13, NAR reported that the seasonally adjusted annual rate of existing-home sales in New Jersey for the first quarter of this year was 169,600 units, up 4.0 percent from the first quarter of 2007. During an ongoing quality control procedure, additional data entry, and from comments from members of the New Jersey Association of Realtors®, an inadvertent error was discovered.
The actual existing-home sales pace in New Jersey was 114,100 in the first quarter, which was 30 percent below the 163,000-unit level in first quarter of 2007. Compared with a revised fourth quarter 2007 sales level of 119,400, first quarter sales declined 4.4 percent.
NAR accepts full responsibility for this error. NAR takes the data integrity issue most seriously. Special factors and special computer coding have always been involved with New Jersey data in the past, and the current error is specific only to New Jersey. There were no problems with other states, and there is no impact on median home price data. Adjustments to home sales at the regional and national level will be noted in upcoming normal data revision process.
NAR apologizes for the error, and recognizes that the market performance in New Jersey has been mischaracterized as a result. It is instituting additional review procedures to ensure no such error is repeated in the future. The median home price for the state of New Jersey was $361,300 in the first quarter of 2007, and $350,700 in the first quarter of 2008, and the data were unchanged from initial reports. The price decline is a modest, manageable decline after the healthy increases in prior years.
The New Jersey Association of Realtors, in a separate June13 release stated the following:
The New Jersey Association of Realtors Executive Vice President Jarrod Grasso issued the following statement in reaction to the National Association of Realtors report that the seasonally adjusted annual rate of existing home sales in New Jersey for the first quarter of 2008 is incorrect.
“The New Jersey Association of Realtors was alerted by its members that the housing statistics for the first quarter of 2008 did not appear to be accurate. Upon hearing this news, we took immediate action to rectify the situation by reaching out to the National Association of Realtors to determine if in fact the numbers were correct.
“After closer examination, the National Association of Realtors confirmed that there was an error. Insterad of a 4 percent boost in sales volume from the first quarter 2007 to the first quarter 2008, New Jersey experienced a 30 percent decline. The sales price report was not impacted by the wrror and some areas still show an increse.
“Rest assured that the National Association of Realtors is deeply committed to presenting the most accurate statistics and information to the public. New Jersey Association of Realtors has been assured by the National Association of Realtors that steps will be taken to ensure that no incidents like this occur in the future.
“New Jersey Association of Realtors firmly believes there are opportunities in today’s real estate market. We encourage first-time buyers, renters, and trade-up buyers to capitalize on this opportunity. People who are looking to purchase a home can take advantage of low interest rates and a large selection of available properties.”