Selling Price and Area Analysis for D.M.

Pan National Real Estate Company 1

Report: Selling Price and Area Analysis for D.M. Pan National Real Estate Company

Department of Mathematics, SNHU

MAT 240: Applied Statistics

Selling Price and Area Analysis for D.M. Pan National Real Estate Company 2

Report: Selling Price and Area Analysis for D.M. Pan National Real Estate Company

Introduction

The goal of this report is to explore the relationship between a home's listing price and its square

footage within a specific region. I chose the Northeast region for this analysis. Using data from

that area, I randomly selected 30 listings to examine. From this sample, I calculated the mean,

median, and standard deviation for both listing price and square footage. This will help give a

snapshot of the regional market and allow for comparisons to the national trends.

Generate a Representative Sample of the Data

The average listing price in my sample was $326,947, the median was $297,850, and the

standard deviation was $118391.7248. For square footage, the average was 1,859 sqft, the

median was 1,742 sqft, and the standard deviation was 763.9416 sqft.

Stat $'s per square

Region e County listing price square foot feet random
0.26835
Northeast pa monroe 414,000 $199 2,085 4
0.99987
Northeast pa lawrence 418,800 $203 2,063 5
0.48050
Northeast pa dauphin 282,800 $140 2,025 1
0.59272
Northeast ny dutchess 298,300 $175 1,708 5
0.39733
Northeast ny schenectady 596,900 $163 3,656 2

Northeast pa centre 290,200 $184 1,574 0.59479

Northeast ny oneida 308,500 $168 1,840 0.65036

0.61075
Northeast ny westchester 330,000 $159 2,072 2
0.67795
Northeast pa cumberland 270,900 $186 1,456 9
0.45431
Northeast pa lycoming 185,600 $145 1,283 3
0.25770
Northeast pa erie 229,200 $181 1,263 9
0.96450
Northeast pa york 368,600 $178 2,068 8
Selling Price and Area Analysis for D.M. Pan National Real Estate Company 3

0.80690
Northeast ny cortland 343,200 $181 1,893 8
0.43431
Northeast pa washington 315,500 $173 1,820 3
0.19991
Northeast pa armstrong 289,200 $186 1,558 4
0.99233
Northeast ny wayne 321,300 $204 1,573 9
0.96369
Northeast pa bradford 251,400 $208 1,206 3
0.71671
Northeast pa bucks 325,800 $182 1,794 5
0.71555
Northeast ny st. lawrence 256,900 $148 1,734 6
0.05328
Northeast ny saratoga 304,600 $157 1,946 8
0.37253
Northeast pa philadelphia 822,200 $161 5,108 7
0.72027
Northeast ny rensselaer 347,000 $190 1,827 4
0.44445
Northeast ny montgomery 259,300 $156 1,658 5
0.09803
Northeast ny saratoga 277,300 $151 1,842 6
0.54094
Northeast pa venango 284,800 $163 1,749 7

Northeast ny albany 297,400 $207 1,439 0.36047

Northeast pa lehigh 305,800 $194 1,579 0.81357

0.54096
Northeast ny tioga 257,400 $218 1,183 6
0.68205
Northeast ny oswego 266,500 $237 1,126 3
0.83396
Northeast pa montgomery 289,000 $175 1,648 1

Analyze Your Sample

To create my sample, I used Microsoft Excel’s random number generator. I assigned a random

number to each property listing in the Northeast region, sorted the list from lowest to highest

based on those numbers, and then selected the first 30 entries. This ensured every listing had an

equal chance of being chosen, making the sample truly random.

Selling Price and Area Analysis for D.M. Pan National Real Estate Company 4

When comparing my regional sample to the national data, the results were fairly close. The

average listing price in my sample was slightly lower than the national average—by just over

$20,000. Square footage showed a similar trend, with my sample coming in a bit below the

national average as well. Overall, while there are some small differences, the regional sample

generally reflects the broader national market.

Generate Scatterplot

Assignment #2 Scatter Plot

900,000
800,000
f(x) = 148.79645581867 x + 50304.2960085959
700,000 R² = 0.921855415949304
600,000
500,000
400,000
300,000
200,000
100,000
-
500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 5,000 5,500

Observe Patterns

In the scatterplot, the x-axis represents square footage, ranging from 1,000 to 6,000 sqft. The y-

axis shows the listing price, from $100,000 to $900,000, with the highest data point just over

$800,000. In this case, square footage (x) is being used to predict listing price (y).

There’s a clear positive relationship between square footage and listing price—meaning, as the

size of the home goes up, the price usually increases too. The pattern looks linear, which makes

sense since bigger homes generally cost more.

If I had an 1,800 square foot house, I’d use the regression equation from my graph to ballpark the

listing price:
Selling Price and Area Analysis for D.M. Pan National Real Estate Company 5

Listing Price = 148.8 × 1800 + 50,304

That gives me about $318,144, which feels like a fair starting point based on the trend in the

data.

There are a few points in the scatterplot that stand out as potential outliers—like one listing just

under $200,000 and another just over $400,000. These might represent homes in less desirable

areas, or maybe they lack updates or have other factors that impact value, despite the square

footage. It’s a good reminder that while size matters, other elements like location, condition, and

features also play a big role in pricing.