Page 41 - Regression Guideline for AMC

MODEL STABILITY
• Key ques:on 4: Were sta:s:cs such as R-­‐square and MAPE provided with the appraisal regression analysis as evidence of the adequacy and accuracy of the overall regression model? Do the provided sta:s:cs indicate the model provides a good fit to the data?
• Throughout this presenta6on, we have been highligh6ng the cri6cal importance of selec6ng and screening proper6es on which the regression model will be run to generate es6mates of which property characteris6cs in a given market affect market value in that area and by how much. So far, we have indicated that proper6es be selected to provide just the right amount of varia6on on the values of the property characteris6cs as well as the sales prices of the proper6es and have seen how proper6es too dissimilar to other proper6es in the database can bias the es6mates and/or produce a less accurate model.
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