Learn Linear Regression Through Real-World Practice: Predicting Scores, House Prices, and Measuring Accuracy

2–3 minutes

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  1. Load a CSV with student study hours and marks. Predict the score for a new student who studied 7 hours.
  2. Build a multiple linear regression model to predict house prices using area, number of bedrooms, and distance from city center.
  3. Calculate the Mean Squared Error manually for a small dataset and compare it with the model’s MSE.

Linear Regression Equation: y=5.94x+29.15

Predicted Score (using model):
≈ 70.74 marks

Manual Calculation (using y = mx + c): y=5.94×7+29.15 = 70.74

If a house has:

  • Area = 1800 sq ft
  • Bedrooms = 3
  • Distance = 4 km

Price= 100,000 + 100×1800 + 50,000×3 + 0×4 =430,000

Final Predicted Price = $430,000

TermValue UsedWhy This Value Was Chosen
Intercept (b₀)100,000Learned by the model during training. It’s the base price when all inputs are 0.
Area1800A realistic mid-range house area (sq ft) between 1000–2500 in the dataset.
Coefficient for Area100The model learned that for every 1 sq ft increase in area, price goes up by $100.
Bedrooms3A typical value from the dataset (ranging 2–4). Chosen to test an average case.
Coefficient for Bedrooms50,000The model learned that each additional bedroom adds $50,000 in value.
Distance from city4An arbitrary, realistic test value (between 2–8 in the dataset).
Coefficient for Distance0The model found that distance had no impact on price in the dataset (coefficient = 0).

Actual Values: [100, 150, 200]
Predicted Values: [110, 140, 195]

Step-by-Step Residuals (Actual – Predicted):

  • 100 – 110 = -10
  • 150 – 140 = 10
  • 200 – 195 = 5

Squared Errors:

  • (-10)² = 100
  • (10)² = 100
  • (5)² = 25

Manual Mean Squared Error (MSE): MSE=100+100+253=75.0

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