Sellers “moonshot” the price of their home when they list it, thinking they’ll get much higher than their home is truly worth.
Example: listing a home for 850k when really it’s worth 750k. After 2-3 months admit they listed too high and now reduce the list price to the correct 750k.
That change gets tallied in the stats, but they truly didn’t lose any value, just had to adjust the list price.
Also sales are picking up significantly, another sign of not being in a bubble.