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Lastly, we should always verify the assumptions made by us till now. It helps in catching some serious issues before even starting the model-building process.
Till now we have learned that the housing prices predicted by the model will be fed to the investment analysis system. Based on the predicted housing prices and other signals, this system will determine if it is worth investing in a given area or not. It is important to check if the investment analysis system requires the housing prices in numbers. If the system requires the housing prices in categories such as cheap
, medium
, and expensive
, then this problem will become a classification task instead of a regression task. We don't want to learn it after spending days building a regression model.
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