COMPARING HOUSE PRICES

Comparing the House Prices in Huddersfield and Carlisle

Comparing the House Prices in Huddersfield and Carlisle

Introduction

The aim of this project is to compare house costs in Huddersfield in West Yorkshire and Carlisle in Cumbria. This will be achieved using range of mathematical methods i.e. median, quartiles etc, to work-out the prices and compare them with similar house in both areas. This project will focus on flats and terraced houses only as this can be used estimate the overall cost of houses in both areas. A list of 50 houses is obtained for each area. Considering the size of each area, I believe a list of 50 houses would adequate sample size to represent each area.

Hypothesis

It is hypothesised that the prices of house in the Huddersfield will be more expensive than the prices of house in the Carlisle, due to Huddersfield's geographic location, for instance closer to large cities such as Leeds.

Methodology

Systematic sampling is used to gather the data. Systematic sampling involves a random start and then proceeds with the selection of every x number from then onwards. In this case every 4th is selected from a sample size 20 data. This will ensure a wide range of data is selected from the entire data. Appropriate number is selected to collect data for each area.

I select Huddersfield and Carlisle for the reason that they both are relatively same size and have similar population and university. I have lived in Huddersfield and in my view; it would be interesting to evaluate the Carlisle house prices with the Huddersfield. I select flats and terraced houses because in my view, the prices would be valued at around the same prices for Huddersfield and Carlisle, as both areas have university.



Collecting Data

'Zoopla.co.uk' is used to collect the data for this project. It is the most broad property website of United Kingdom. The Zoopla provides the researchers the market by combining hundreds of thousands of property listings with the community tools, data of market and also the local information. Thus, the data collected cover all parts of Huddersfield and Carlisle within selected area. Therefore, the data are reliable and valid representative house price in both areas.

Sampling Techniques

Sampling is a shortcut method for investigating a whole data because using all the data in the data-base would take a long time and would cost a lot of money. Therefore, using an appropriate sampling technique is crucial to ensure an adequate sample is collected to represent the whole data.

Results

Area A (Huddersfield)

AverageSum of values/ n = £4,104,465.00 / 50 = £ 82,089.30/-

N50

MedianMedian of even number of data arranged in ascending order

Sum of middle order / 2 = (79950 + 79950)/2 = £ 79,950/-

Upper Quartile38th value of data arranged in ascending order = £90,000

Lower Quartile 13th value of data arranged in ascending order = £70,000

Inter QuartileDifference between upper and lower quartile.

Inter Qurtile, 90000-70000 = £20000

Area B (Carlisle)

AverageSum of values/ n = £ 4,409,325.00/ 50 = £ 88,186.50/-

N50

MedianMedian of even number of data arranged in ascending order

Sum ...