Page 2 - Regression Guideline for AMC

Evalua6ng Mul6ple Regression Model FiRng Real Estate Appraising
• This presenta6on/discussion will a.empt to explain how to evaluate the results of using mul6ple regression analysis to appraise property values. Common issues that affect model accuracy are also discussed.
• Mul6ple regression is a powerful sta6s6cal tool used in many fields of research and business to analyze the associa6on between a set of variables called the independent or predictor variables and a dependent variable.
• Increasingly, mul6ple regression is being used in real estate appraising to assess the value of a subject property (the dependent variable) based on analysis of how the characteris6cs of a group of comparable proper6es affected their last known sales prices. In this context, the independent or predictor variables are the property characteris6cs provided in the mul6ple lis6ng service (MLS).
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