Machine learning is using/teaching computers to model and discover relationships between data so that in the future a computer can predict an answer based on the previously studied data/relationship within the data. The difference between traditional programming and machine learning is with traditional programming the flow of data model has the rules and data as which are then used to produce answers, whereas machine learning turns this process around and instead uses data and answers to work backwards to figure out the rules of / relationship between the data.
The predicted answers for the value 7 using Maroney’s script are not the same. The first run-through produced the answer 22.00052 while the second produced 22.000023. This slight difference is due to the fact that machine learning is based on probabilities: neural networks deal with parameters instead of hard coded values. So in this case, the neural network thinks that there is a high probability that the answer is 22, but the computer is not sure that the answer is exactly 22.
I think that the best deal in terms of the houses would be the Hudgins house because based on the relationship that the neural network picked up on the model predicted a price for this house that was above what it sold for, meaning that its actual asking value of $97,000 is less than what the model predicts it should be worth based on the number of rooms (it was predicted to be priced at $235,200) and the square footage it has (it was predicted to be priced at $155,100).
the worst deal would be either the church house or the moon house. The model predicted that the church house would have a value of about $299,500 based on how many rooms it has (4) and a value of $353,600 based on its square footage but its actual price is listed as $399,000, meaning that this house is way over-priced. The same goes for the moon house; based on the number of rooms it has the model predicted its value would be $170,900, and based on its square footage the model predicted its value would be $174,700, but its actual price is $250,000, so it is also overpriced.
| House | Actual Price | # of rooms predicted price | Difference | sqft predicted price | Difference |
|---|---|---|---|---|---|
| Church | $399,000 | $299,561 | + $99,439 | $353,633 | + $11,190 |
| Hodgins | $97,000 | $235,279 | - $138,278 | $155,171 | - $201,853 |
| Mobjack | $289,000 | $299,561 | - $10,560 | $340,955 | - $98,809 |
| Moon | $250,000 | $170,997 | + $79,003 | $1.74,568 | + $40,102 |
| Newptcomfort | $229,500 | $235,279 | - $6,278 | $285,366 | - $69,853 |
| Matthews | $347,500 | $363,843 | - $16,342 | $302,514 | - $129,265 |