Predicting Home Value in California, United States via Machine Learning Modeling
AbstractThe market value of real estate is difficult to predict with simple regression model due to the diversity and complexity of the real data. In this paper, with the latest real estate data of three counties in Los Angeles, California, United States, both linear and non-linear machine learning methods are employed to predict the log error of the home value. The motivation is to improve the accuracy in home value prediction with advanced methods. The main contribution is that it finds that traditional linear models are not predictive for complex home value data sets, while tree based non-linear models are most accurate with the lowest mean square errors.
J. McCarthy, M.L. Minsky, N. Rochester, C.E. Shannon, A Proposal for the Dartmouth Summer Research Project on Artificial Intelligence, AI MAGAZINE, vol. 27, no. 4, pp. 12–14, 2006.
N. Cristianini, The road to artificial intelligence: A case of data over theory, New Scientist, 2016
A. Halevy, P. Norvig, F. Pereira, The Unreasonable Effectiveness of Data, IEEE Intelligent Systems, vol. 24, no. 2, pp. 8–12, 2009.
D. Goldberg, J. Holland,, Genetic Algorithms and Machine Learning, Machine learning, vol. 3, pp. 95–99, 1988.
W. Cai, J. Gong, N. Wu, 2.4GHZ Class F Power Amplifier for Wireless Medical Sensor Network, Proceedings of the 2nd World Congress on New Technologies, 2016.
Z. Zhang, J. Ou, D. Li, S. Zhang, J. Fan, A thermography-based method for fatigue behavior evaluation of coupling beam damper, Fracture and Structural Integrity, vol. 11, no. 40, 2017.
E. Turban, J.E. Aronson, T.-P. Liang, Decision Support Systems and Intelligent Systems, Prentice-Hall, Inc., Upper Saddle River, NJ, 2005.
W. Cai, L. Huang, W. Wen, 2.4GHZ Class AB Power Amplifier for Wireless Medical Sensor Network, International Journal of Enhanced Research in Science, Technology & Engineering, vol. 5, no. 4, pp. 94–98, 2016.
Z. Zhang, J. Ou, D. Li, S. Zhang, Optimization Design of Coupling Beam Metal Damper in Shear Wall Structures, Applied Sciences,vol. 7, no. 137, 2017.
D. Grant, E. Cherif, Analysis of e-business models in real estate, Electronic Commerce Research, 2013.
W. Cai, F. Shi, Design of low power medical device, International Journal of VLSI design & Communication Systems (VLSICS),vol.8, no. 2, 2017.
D. Li, S. Zhang, W. Yang, W. Zhang, Corrosion Monitoring and Evaluation of Reinforced Concrete Structures Utilizing the Ultrasonic Guided Wave Technique, International Journal of Distributed Sensor Networks, vol. 10, no. 9, 2014.
R.E. Lowrance, Predicting the Market Value of Single-Family Residential Real Estate, PhD Dissertation, 2015.
G. Hu, J. Wang, W. Feng, Multivariate Regression Modeling for Home Value Estimates with Evaluation Using Maximum Information Coefficient, Software Engineering, Artificial Intelligence, Networking, SCI 443, pp. 69–81, 2013.
Vapnik, V, The Nature of Statistical Learning Theory, Springer- Verlag., 1995.
Shuichi Shinmura, The 95% confidence intervals of error rates and discriminant coefficients, Statistics, Optimization & Information Computing, vol. 3, pp. 66–78, 2015.
J. Mu, F. Wu, A. Zhang, Housing Value Forecasting Based on Machine Learning Methods, Abstract and Applied Analysis, 2014.
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).