Multiple regression works very well under some conditions. We ask: Are these conditions true in most real property valuations? This is actually a vast topic, so we can only reflect on some of the conditions or assumptions which are required for a multiple regression to be valid. Much (if not all) “advanced” appraiser education makes […]
Recent presentations and articles on “Big Data and Appraisal” universally say that big changes in technology and analytics are affecting appraisal. What I don’t hear is: What can I do about it? Will I be able to work in five years? Will our appraisal organizations be around? If there is a place for me, what […]
If regression is just a math formula, how can anyone claim “Ours is better than theirs”? Who do we believe? The reality is that the standard least-squares formula is just the inner algorithm. There is the input, the magical regression algorithm, and the output. Four useful appraiser things to consider: The analyst’s decision that regression […]
Regression is just a math formula. Regression is not magic. The answer is only as good as the data used. Regression is a tool. It is helpful to understand the difference between a tool and a model. To build a house, you need a hammer, the tool. You also need a nailing schedule, which tells you […]