Subset the data based on variables, such as number of bedrooms, number of bathrooms, home square footage,

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Subset the data based on variables, such as number of bedrooms, number of bathrooms, home square footage, lot square footage, and age of the house. Which variables can be removed when predicting house prices? Are there any variables that display a skewed distribution? If there are, perform logarithm transformations for these variables. Would it make sense to transform some of the numeric values into categorical values using the binning strategy? Is equal size or equal interval binning strategy more appropriate in these situations?

ApplicationLoanTypePropertyTypePurpose
1ConventionalSingle-familyPurchase
2ConventionalMulti-familyRefinancing
3Federal HousingSingle-familyPurchase
4ConventionalMulti-familyRefinancing
5ConventionalSingle-familyPurchase
6Federal HousingSingle-familyRefinancing
7ConventionalSingle-familyRefinancing
8Federal HousingMulti-familyRefinancing
9ConventionalSingle-familyRefinancing
10Federal HousingSingle-familyRefinancing
11Federal HousingSingle-familyRefinancing
12Federal HousingSingle-familyPurchase
13Federal HousingMulti-familyRefinancing
14Federal HousingMulti-familyPurchase
15ConventionalMulti-familyRefinancing
16ConventionalMulti-familyPurchase
17ConventionalSingle-familyRefinancing
18ConventionalMulti-familyRefinancing
19Federal HousingMulti-familyRefinancing
20ConventionalMulti-familyPurchase
21Federal HousingMulti-familyPurchase
22ConventionalMulti-familyRefinancing
23Federal HousingSingle-familyPurchase
24ConventionalSingle-familyRefinancing
25Federal HousingMulti-familyRefinancing
26ConventionalSingle-familyPurchase
27ConventionalSingle-familyRefinancing
28ConventionalMulti-familyRefinancing
29ConventionalSingle-familyPurchase
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Business Analytics

ISBN: 9781265897109

2nd Edition

Authors: Sanjiv Jaggia, Alison Kelly, Kevin Lertwachara, Leida Chen

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