Introduction 2.1 There are many areas of society where individuals or organisations use residential property price indices (RPPIs) directly or indirectly either to influence practical decision making or to inform the formulation and conduct of economic policy. Different uses can have a significant impact on the preferred coverage of the index and also on the appropriate methodology applied for its construction. 2.2 From an individual household’s perspective, real estate often represents the single largest investment in their portfolio. It also accounts