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Techniques

Numerical range:

  • scaling
  • normalising
  • standardizing

Grouping:

  • bucketizing
  • bag of words

Dimenisonality reduciton Feature crossing

Shapley values??

Feature Engineering

Regardless of the model, feature engineering plays a critical role in the performance of your prediction. Here are some features you might consider:

  • Historical Prices: Lagged values of past prices.
  • Rolling Statistics: Rolling means, standard deviations, and other statistics over different time windows.
  • External Factors: Economic indicators, interest rates, and other macroeconomic variables.
  • Property Features: Size, number of rooms, location-specific features.
  • Temporal Features: Time of year, day of the week, seasonality factors.

Some new features I created that inform about the legal state of the

  • okupas - is the property illegally occupied - read more about the problem in Spain here
  • alquilado - does it currently have a tenant living inside and the buyer will have to respect the contract until it ends on the date as outlined in the original contract - read more here
  • propiedad_nuda - when we buy the property but current owners have the right to live there for the rest of their lives. We sometimes need to pay them monthly allowance as well - read more here