Real estate research: evaluation of 30 observations with interval scale data

Real Estate Research

The purpose of the research is to investigate whether the trend is growing for moneyed indivdauls to invest in fewer square feet thatn has, a decage ago, been the case.

Describe the research problem

It has been popularly thoguth that the larger the tract of gferound that the house occupies, the more expensive and desribael it will be. In fact, the luxury market consideres a 8,000 square feet house the average size. Lone innovative voices in the architectural field however maintain otherwise saying that moneyed people are becomgin more eager to invest in compact, but quality houseing thatn to continue investing in space. According to Re-max realty agent, Greg Close, for instance:

These days.. even investor-buyers are finding that the offshore crowd is becoming more accepting of the idea that bigger doesn't always mean better. Despite working in the epicentre of high-end, high-square-footage real estate, Mr. Close concludes: "People just basically live in three rooms. Anything over 5,000 square feet is nutty" (Weder, 2009).

Comapneis that employ these architects rely on their opinion and invest millions of diolars in doing so. These arctheicts, thmesleves, are basign their business on this rpemis without having conducted any scientific research intot the question, merly basign their premise ont ehri experiences.

However, anlaysis of the attached data indicate that accommodationst aht halve the seaure tracts of field soemitmes approach the price of the former and even occassioanlly exceed. As a case in point. The largest sssize of the hopme in seuare feet is that of 2900. There are two on the market, one of which is priced at $227.1. Investigatign prices of housing that are half the size of these1900 sq. feet) reveal at keast two that exceed that price ($251.4 and $232.2 respectively, and one that approaches ($224). Dropping even lower in square feet, oen sees aht a house that occupioes onkly 1700 square feet is priced at $209 that, althgouh far smaller in area thatn the 2900 sq. feet almost aprpaoches its price.

B. Explain why the research problem is important

The research problem is important for anyone involved in the housing market, as wellas for architects, and for companies that look towards employing architects. From a bus9enss and cpatiatlist sense as well as form a hsitorailc perspective, investigation into the matter is improatn since it revelas soemthign about the American moneyed calss: their drift not only in the housing market but also, as implied, their general preferences in the way that they wish to spend their money.

If it is indeed correct that indivaul with money are preferntlay opting for minimalism in the hosuing market, implciaiton infer that they tend towards minimalsim in other areas of life too. Findings from such reseeahc, consequently, wodul have trenous ramicicaons for all sorts of industries beacues it would indicate paterns of market research, directions and occupation for the future. This is partioly so since the involved sector is an essntail part of the market.