Debdutta Choudhury- 1111252
Moushumi Daimari- 1111271
S. Vishwas- 1111291
V.Balakrishnan - 1111311
Description of 236 Ellery Street Condominium
Rooms| Five(two bedroom, one bath)|
Interior Space| 1040 square feet of interior space|
Monthly Condominium Fee| $175|
Annual Property Taxes| $1,121|
Put on market| April 11,1994|
Rent Control Status| In the event that owner wishes to let condominium, restrictions apply on monthly rent owner may charge|
In order to obtain the optimum price that Reyem Affiar should pay for the two-bedroom condominium at 236 Ellery Street a regression model was required. A total of 456 data points( of the past 5 years) and 17 variables were provided , namely-Street Address, Unit, Area, Area Code, First Price, Last Price, Sale Price, First Date, Close Date, Days, Interior, Bed (rooms), Bath (rooms), Rooms, Condo, Tax and RC. A regression model analysis was carried out using SPSS with Sale Price as the dependant variable and the rest as independent variables.
Removing redundant variables ie. Area & Area Code, an initial regression sans outliers showed First Price (sig=0.000), Last Price (sig=0.000), Days (sig=0.000), Tax (sig=0.000) and RC (sig=0.236) to be the relevant variables (significance level <= 0.025) with an R^2 value of 0.955 and an Adjusted R^2 value of 0.954.
On analyzing regression coefficients and trend lines for individual variables in scatter plots, three clear outliers were identified and removed-75 Cambridge Pky( Sale Price-875,000), 205 Richdale Ave ( Sale Price-124,000). Further analysis using Mahalanobis distance, Cook’s distance and Leverage values removed 19 more data points. Required...