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Zestimate it! Is housing picking up again?

Zestimate it! Is housing picking up again?. By: Xxxxxx Xxxxxx Xxxxxxx Xxxx Xxxx Xxxxxxxxxxx Xxxxx Xxxxxx. Frisco – West Falls Village. 136 Houses – Criteria (list of variables). Year the house was built and age2 The number of bedrooms and Bedrooms2 The number of bathrooms and Bathrooms2

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Zestimate it! Is housing picking up again?

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  1. Zestimate it!Is housing picking up again? By: Xxxxxx Xxxxxx Xxxxxxx Xxxx Xxxx Xxxxxxxxxxx Xxxxx Xxxxxx

  2. Frisco – West Falls Village

  3. 136 Houses – Criteria (list of variables) Year the house was built and age2 The number of bedrooms and Bedrooms2 The number of bathrooms and Bathrooms2 Square-footage and Square-footage2 The presence of a pool (dummy variable) Pool X Square-footage

  4. Backward Elimination Factors with P-Values greater than .05 were eliminated Eliminated observations 104 and 132 These two observations lowered the normality P-value more than acceptable

  5. 8349 Hamilton Lane (outlier to be excluded) • $356,000.00 Zestimate • 3 years old • 4 bedrooms • 4 bathrooms • 3837 square-feet • 1 (pool)

  6. 2102 Dowelling Drive (another outlier) • $425,000.00 Zestimate • 8 years old • 5 bedrooms • 4 bathrooms • 5188 square- feet • 0 (no pool)

  7. Regression Analysis: Price versus Age, Sq-Footage2, Pool, Age2 (Final Model) The regression equation is Price = 248306 - 19755 Age + 0.0107 Sq-Footage2 + 17513 Pool + 1310 Age2 Predictor Coef SE Coef T P VIF Constant 248306 18527 13.40 0.000 Age -19755 6043 -3.27 0.001 61.573 Sq-Footage2 0.0107076 0.0003508 30.52 0.000 1.069 Pool 17513 4119 4.25 0.000 1.088 Age2 1309.7 481.4 2.72 0.007 61.392 S = 15944.7 R-Sq = 89.2% R-Sq(adj) = 88.8%

  8. Regression Equations Pool/No Pool The regression equation for houses with a pool: Price = 265819 - 19755 Age + 0.0107 Sq-Footage2 + 1310 Age2 The regression equation for houses without a pool: Price = 248306 - 19755 Age + 0.0107 Sq-Footage2 + 1310 Age2

  9. Taking observation 104 and 132 allows the normality to a marginally satisfactory level of 0.024 Testing for Normality

  10. Residual Plot

  11. Houses for Sale Houses for Sale Worst Deals Best Deals

  12. Conclusion Is there a slowing housing market based on our regression analysis of Frisco’s West Falls Village? The data shows that the for sale price in 3 of 7 is above our estimated selling price. 4 houses are under priced based on the model from -$4,800 to -$53,000

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