```{r setup, include=FALSE} knitr::opts_chunk$set(echo = TRUE, message = FALSE, warning = FALSE)

### Load the dataset

``` r
ames <- read.csv('C:/Users/Usama Shaikh/Downloads/Stats for DS/ames.csv', header = TRUE)

### Display first few rows
head(ames)
##   Order       PID MS.SubClass MS.Zoning Lot.Frontage Lot.Area Street Alley
## 1     1 526301100          20        RL          141    31770   Pave  <NA>
## 2     2 526350040          20        RH           80    11622   Pave  <NA>
## 3     3 526351010          20        RL           81    14267   Pave  <NA>
## 4     4 526353030          20        RL           93    11160   Pave  <NA>
## 5     5 527105010          60        RL           74    13830   Pave  <NA>
## 6     6 527105030          60        RL           78     9978   Pave  <NA>
##   Lot.Shape Land.Contour Utilities Lot.Config Land.Slope Neighborhood
## 1       IR1          Lvl    AllPub     Corner        Gtl        NAmes
## 2       Reg          Lvl    AllPub     Inside        Gtl        NAmes
## 3       IR1          Lvl    AllPub     Corner        Gtl        NAmes
## 4       Reg          Lvl    AllPub     Corner        Gtl        NAmes
## 5       IR1          Lvl    AllPub     Inside        Gtl      Gilbert
## 6       IR1          Lvl    AllPub     Inside        Gtl      Gilbert
##   Condition.1 Condition.2 Bldg.Type House.Style Overall.Qual Overall.Cond
## 1        Norm        Norm      1Fam      1Story            6            5
## 2       Feedr        Norm      1Fam      1Story            5            6
## 3        Norm        Norm      1Fam      1Story            6            6
## 4        Norm        Norm      1Fam      1Story            7            5
## 5        Norm        Norm      1Fam      2Story            5            5
## 6        Norm        Norm      1Fam      2Story            6            6
##   Year.Built Year.Remod.Add Roof.Style Roof.Matl Exterior.1st Exterior.2nd
## 1       1960           1960        Hip   CompShg      BrkFace      Plywood
## 2       1961           1961      Gable   CompShg      VinylSd      VinylSd
## 3       1958           1958        Hip   CompShg      Wd Sdng      Wd Sdng
## 4       1968           1968        Hip   CompShg      BrkFace      BrkFace
## 5       1997           1998      Gable   CompShg      VinylSd      VinylSd
## 6       1998           1998      Gable   CompShg      VinylSd      VinylSd
##   Mas.Vnr.Type Mas.Vnr.Area Exter.Qual Exter.Cond Foundation Bsmt.Qual
## 1        Stone          112         TA         TA     CBlock        TA
## 2         None            0         TA         TA     CBlock        TA
## 3      BrkFace          108         TA         TA     CBlock        TA
## 4         None            0         Gd         TA     CBlock        TA
## 5         None            0         TA         TA      PConc        Gd
## 6      BrkFace           20         TA         TA      PConc        TA
##   Bsmt.Cond Bsmt.Exposure BsmtFin.Type.1 BsmtFin.SF.1 BsmtFin.Type.2
## 1        Gd            Gd            BLQ          639            Unf
## 2        TA            No            Rec          468            LwQ
## 3        TA            No            ALQ          923            Unf
## 4        TA            No            ALQ         1065            Unf
## 5        TA            No            GLQ          791            Unf
## 6        TA            No            GLQ          602            Unf
##   BsmtFin.SF.2 Bsmt.Unf.SF Total.Bsmt.SF Heating Heating.QC Central.Air
## 1            0         441          1080    GasA         Fa           Y
## 2          144         270           882    GasA         TA           Y
## 3            0         406          1329    GasA         TA           Y
## 4            0        1045          2110    GasA         Ex           Y
## 5            0         137           928    GasA         Gd           Y
## 6            0         324           926    GasA         Ex           Y
##   Electrical X1st.Flr.SF X2nd.Flr.SF Low.Qual.Fin.SF Gr.Liv.Area Bsmt.Full.Bath
## 1      SBrkr        1656           0               0        1656              1
## 2      SBrkr         896           0               0         896              0
## 3      SBrkr        1329           0               0        1329              0
## 4      SBrkr        2110           0               0        2110              1
## 5      SBrkr         928         701               0        1629              0
## 6      SBrkr         926         678               0        1604              0
##   Bsmt.Half.Bath Full.Bath Half.Bath Bedroom.AbvGr Kitchen.AbvGr Kitchen.Qual
## 1              0         1         0             3             1           TA
## 2              0         1         0             2             1           TA
## 3              0         1         1             3             1           Gd
## 4              0         2         1             3             1           Ex
## 5              0         2         1             3             1           TA
## 6              0         2         1             3             1           Gd
##   TotRms.AbvGrd Functional Fireplaces Fireplace.Qu Garage.Type Garage.Yr.Blt
## 1             7        Typ          2           Gd      Attchd          1960
## 2             5        Typ          0         <NA>      Attchd          1961
## 3             6        Typ          0         <NA>      Attchd          1958
## 4             8        Typ          2           TA      Attchd          1968
## 5             6        Typ          1           TA      Attchd          1997
## 6             7        Typ          1           Gd      Attchd          1998
##   Garage.Finish Garage.Cars Garage.Area Garage.Qual Garage.Cond Paved.Drive
## 1           Fin           2         528          TA          TA           P
## 2           Unf           1         730          TA          TA           Y
## 3           Unf           1         312          TA          TA           Y
## 4           Fin           2         522          TA          TA           Y
## 5           Fin           2         482          TA          TA           Y
## 6           Fin           2         470          TA          TA           Y
##   Wood.Deck.SF Open.Porch.SF Enclosed.Porch X3Ssn.Porch Screen.Porch Pool.Area
## 1          210            62              0           0            0         0
## 2          140             0              0           0          120         0
## 3          393            36              0           0            0         0
## 4            0             0              0           0            0         0
## 5          212            34              0           0            0         0
## 6          360            36              0           0            0         0
##   Pool.QC Fence Misc.Feature Misc.Val Mo.Sold Yr.Sold Sale.Type Sale.Condition
## 1    <NA>  <NA>         <NA>        0       5    2010       WD          Normal
## 2    <NA> MnPrv         <NA>        0       6    2010       WD          Normal
## 3    <NA>  <NA>         Gar2    12500       6    2010       WD          Normal
## 4    <NA>  <NA>         <NA>        0       4    2010       WD          Normal
## 5    <NA> MnPrv         <NA>        0       3    2010       WD          Normal
## 6    <NA>  <NA>         <NA>        0       6    2010       WD          Normal
##   SalePrice
## 1    215000
## 2    105000
## 3    172000
## 4    244000
## 5    189900
## 6    195500
### Display column names
colnames(ames)
##  [1] "Order"           "PID"             "MS.SubClass"     "MS.Zoning"      
##  [5] "Lot.Frontage"    "Lot.Area"        "Street"          "Alley"          
##  [9] "Lot.Shape"       "Land.Contour"    "Utilities"       "Lot.Config"     
## [13] "Land.Slope"      "Neighborhood"    "Condition.1"     "Condition.2"    
## [17] "Bldg.Type"       "House.Style"     "Overall.Qual"    "Overall.Cond"   
## [21] "Year.Built"      "Year.Remod.Add"  "Roof.Style"      "Roof.Matl"      
## [25] "Exterior.1st"    "Exterior.2nd"    "Mas.Vnr.Type"    "Mas.Vnr.Area"   
## [29] "Exter.Qual"      "Exter.Cond"      "Foundation"      "Bsmt.Qual"      
## [33] "Bsmt.Cond"       "Bsmt.Exposure"   "BsmtFin.Type.1"  "BsmtFin.SF.1"   
## [37] "BsmtFin.Type.2"  "BsmtFin.SF.2"    "Bsmt.Unf.SF"     "Total.Bsmt.SF"  
## [41] "Heating"         "Heating.QC"      "Central.Air"     "Electrical"     
## [45] "X1st.Flr.SF"     "X2nd.Flr.SF"     "Low.Qual.Fin.SF" "Gr.Liv.Area"    
## [49] "Bsmt.Full.Bath"  "Bsmt.Half.Bath"  "Full.Bath"       "Half.Bath"      
## [53] "Bedroom.AbvGr"   "Kitchen.AbvGr"   "Kitchen.Qual"    "TotRms.AbvGrd"  
## [57] "Functional"      "Fireplaces"      "Fireplace.Qu"    "Garage.Type"    
## [61] "Garage.Yr.Blt"   "Garage.Finish"   "Garage.Cars"     "Garage.Area"    
## [65] "Garage.Qual"     "Garage.Cond"     "Paved.Drive"     "Wood.Deck.SF"   
## [69] "Open.Porch.SF"   "Enclosed.Porch"  "X3Ssn.Porch"     "Screen.Porch"   
## [73] "Pool.Area"       "Pool.QC"         "Fence"           "Misc.Feature"   
## [77] "Misc.Val"        "Mo.Sold"         "Yr.Sold"         "Sale.Type"      
## [81] "Sale.Condition"  "SalePrice"
### Summary Statstics for Data
summary(ames)
##      Order             PID             MS.SubClass      MS.Zoning        
##  Min.   :   1.0   Min.   :5.263e+08   Min.   : 20.00   Length:2930       
##  1st Qu.: 733.2   1st Qu.:5.285e+08   1st Qu.: 20.00   Class :character  
##  Median :1465.5   Median :5.355e+08   Median : 50.00   Mode  :character  
##  Mean   :1465.5   Mean   :7.145e+08   Mean   : 57.39                     
##  3rd Qu.:2197.8   3rd Qu.:9.072e+08   3rd Qu.: 70.00                     
##  Max.   :2930.0   Max.   :1.007e+09   Max.   :190.00                     
##                                                                          
##   Lot.Frontage       Lot.Area         Street             Alley          
##  Min.   : 21.00   Min.   :  1300   Length:2930        Length:2930       
##  1st Qu.: 58.00   1st Qu.:  7440   Class :character   Class :character  
##  Median : 68.00   Median :  9436   Mode  :character   Mode  :character  
##  Mean   : 69.22   Mean   : 10148                                        
##  3rd Qu.: 80.00   3rd Qu.: 11555                                        
##  Max.   :313.00   Max.   :215245                                        
##  NA's   :490                                                            
##   Lot.Shape         Land.Contour        Utilities          Lot.Config       
##  Length:2930        Length:2930        Length:2930        Length:2930       
##  Class :character   Class :character   Class :character   Class :character  
##  Mode  :character   Mode  :character   Mode  :character   Mode  :character  
##                                                                             
##                                                                             
##                                                                             
##                                                                             
##   Land.Slope        Neighborhood       Condition.1        Condition.2       
##  Length:2930        Length:2930        Length:2930        Length:2930       
##  Class :character   Class :character   Class :character   Class :character  
##  Mode  :character   Mode  :character   Mode  :character   Mode  :character  
##                                                                             
##                                                                             
##                                                                             
##                                                                             
##   Bldg.Type         House.Style         Overall.Qual     Overall.Cond  
##  Length:2930        Length:2930        Min.   : 1.000   Min.   :1.000  
##  Class :character   Class :character   1st Qu.: 5.000   1st Qu.:5.000  
##  Mode  :character   Mode  :character   Median : 6.000   Median :5.000  
##                                        Mean   : 6.095   Mean   :5.563  
##                                        3rd Qu.: 7.000   3rd Qu.:6.000  
##                                        Max.   :10.000   Max.   :9.000  
##                                                                        
##    Year.Built   Year.Remod.Add  Roof.Style         Roof.Matl        
##  Min.   :1872   Min.   :1950   Length:2930        Length:2930       
##  1st Qu.:1954   1st Qu.:1965   Class :character   Class :character  
##  Median :1973   Median :1993   Mode  :character   Mode  :character  
##  Mean   :1971   Mean   :1984                                        
##  3rd Qu.:2001   3rd Qu.:2004                                        
##  Max.   :2010   Max.   :2010                                        
##                                                                     
##  Exterior.1st       Exterior.2nd       Mas.Vnr.Type        Mas.Vnr.Area   
##  Length:2930        Length:2930        Length:2930        Min.   :   0.0  
##  Class :character   Class :character   Class :character   1st Qu.:   0.0  
##  Mode  :character   Mode  :character   Mode  :character   Median :   0.0  
##                                                           Mean   : 101.9  
##                                                           3rd Qu.: 164.0  
##                                                           Max.   :1600.0  
##                                                           NA's   :23      
##   Exter.Qual         Exter.Cond         Foundation         Bsmt.Qual        
##  Length:2930        Length:2930        Length:2930        Length:2930       
##  Class :character   Class :character   Class :character   Class :character  
##  Mode  :character   Mode  :character   Mode  :character   Mode  :character  
##                                                                             
##                                                                             
##                                                                             
##                                                                             
##   Bsmt.Cond         Bsmt.Exposure      BsmtFin.Type.1      BsmtFin.SF.1   
##  Length:2930        Length:2930        Length:2930        Min.   :   0.0  
##  Class :character   Class :character   Class :character   1st Qu.:   0.0  
##  Mode  :character   Mode  :character   Mode  :character   Median : 370.0  
##                                                           Mean   : 442.6  
##                                                           3rd Qu.: 734.0  
##                                                           Max.   :5644.0  
##                                                           NA's   :1       
##  BsmtFin.Type.2      BsmtFin.SF.2      Bsmt.Unf.SF     Total.Bsmt.SF 
##  Length:2930        Min.   :   0.00   Min.   :   0.0   Min.   :   0  
##  Class :character   1st Qu.:   0.00   1st Qu.: 219.0   1st Qu.: 793  
##  Mode  :character   Median :   0.00   Median : 466.0   Median : 990  
##                     Mean   :  49.72   Mean   : 559.3   Mean   :1052  
##                     3rd Qu.:   0.00   3rd Qu.: 802.0   3rd Qu.:1302  
##                     Max.   :1526.00   Max.   :2336.0   Max.   :6110  
##                     NA's   :1         NA's   :1        NA's   :1     
##    Heating           Heating.QC        Central.Air         Electrical       
##  Length:2930        Length:2930        Length:2930        Length:2930       
##  Class :character   Class :character   Class :character   Class :character  
##  Mode  :character   Mode  :character   Mode  :character   Mode  :character  
##                                                                             
##                                                                             
##                                                                             
##                                                                             
##   X1st.Flr.SF      X2nd.Flr.SF     Low.Qual.Fin.SF     Gr.Liv.Area  
##  Min.   : 334.0   Min.   :   0.0   Min.   :   0.000   Min.   : 334  
##  1st Qu.: 876.2   1st Qu.:   0.0   1st Qu.:   0.000   1st Qu.:1126  
##  Median :1084.0   Median :   0.0   Median :   0.000   Median :1442  
##  Mean   :1159.6   Mean   : 335.5   Mean   :   4.677   Mean   :1500  
##  3rd Qu.:1384.0   3rd Qu.: 703.8   3rd Qu.:   0.000   3rd Qu.:1743  
##  Max.   :5095.0   Max.   :2065.0   Max.   :1064.000   Max.   :5642  
##                                                                     
##  Bsmt.Full.Bath   Bsmt.Half.Bath      Full.Bath       Half.Bath     
##  Min.   :0.0000   Min.   :0.00000   Min.   :0.000   Min.   :0.0000  
##  1st Qu.:0.0000   1st Qu.:0.00000   1st Qu.:1.000   1st Qu.:0.0000  
##  Median :0.0000   Median :0.00000   Median :2.000   Median :0.0000  
##  Mean   :0.4314   Mean   :0.06113   Mean   :1.567   Mean   :0.3795  
##  3rd Qu.:1.0000   3rd Qu.:0.00000   3rd Qu.:2.000   3rd Qu.:1.0000  
##  Max.   :3.0000   Max.   :2.00000   Max.   :4.000   Max.   :2.0000  
##  NA's   :2        NA's   :2                                         
##  Bedroom.AbvGr   Kitchen.AbvGr   Kitchen.Qual       TotRms.AbvGrd   
##  Min.   :0.000   Min.   :0.000   Length:2930        Min.   : 2.000  
##  1st Qu.:2.000   1st Qu.:1.000   Class :character   1st Qu.: 5.000  
##  Median :3.000   Median :1.000   Mode  :character   Median : 6.000  
##  Mean   :2.854   Mean   :1.044                      Mean   : 6.443  
##  3rd Qu.:3.000   3rd Qu.:1.000                      3rd Qu.: 7.000  
##  Max.   :8.000   Max.   :3.000                      Max.   :15.000  
##                                                                     
##   Functional          Fireplaces     Fireplace.Qu       Garage.Type       
##  Length:2930        Min.   :0.0000   Length:2930        Length:2930       
##  Class :character   1st Qu.:0.0000   Class :character   Class :character  
##  Mode  :character   Median :1.0000   Mode  :character   Mode  :character  
##                     Mean   :0.5993                                        
##                     3rd Qu.:1.0000                                        
##                     Max.   :4.0000                                        
##                                                                           
##  Garage.Yr.Blt  Garage.Finish       Garage.Cars     Garage.Area    
##  Min.   :1895   Length:2930        Min.   :0.000   Min.   :   0.0  
##  1st Qu.:1960   Class :character   1st Qu.:1.000   1st Qu.: 320.0  
##  Median :1979   Mode  :character   Median :2.000   Median : 480.0  
##  Mean   :1978                      Mean   :1.767   Mean   : 472.8  
##  3rd Qu.:2002                      3rd Qu.:2.000   3rd Qu.: 576.0  
##  Max.   :2207                      Max.   :5.000   Max.   :1488.0  
##  NA's   :159                       NA's   :1       NA's   :1       
##  Garage.Qual        Garage.Cond        Paved.Drive         Wood.Deck.SF    
##  Length:2930        Length:2930        Length:2930        Min.   :   0.00  
##  Class :character   Class :character   Class :character   1st Qu.:   0.00  
##  Mode  :character   Mode  :character   Mode  :character   Median :   0.00  
##                                                           Mean   :  93.75  
##                                                           3rd Qu.: 168.00  
##                                                           Max.   :1424.00  
##                                                                            
##  Open.Porch.SF    Enclosed.Porch     X3Ssn.Porch       Screen.Porch
##  Min.   :  0.00   Min.   :   0.00   Min.   :  0.000   Min.   :  0  
##  1st Qu.:  0.00   1st Qu.:   0.00   1st Qu.:  0.000   1st Qu.:  0  
##  Median : 27.00   Median :   0.00   Median :  0.000   Median :  0  
##  Mean   : 47.53   Mean   :  23.01   Mean   :  2.592   Mean   : 16  
##  3rd Qu.: 70.00   3rd Qu.:   0.00   3rd Qu.:  0.000   3rd Qu.:  0  
##  Max.   :742.00   Max.   :1012.00   Max.   :508.000   Max.   :576  
##                                                                    
##    Pool.Area         Pool.QC             Fence           Misc.Feature      
##  Min.   :  0.000   Length:2930        Length:2930        Length:2930       
##  1st Qu.:  0.000   Class :character   Class :character   Class :character  
##  Median :  0.000   Mode  :character   Mode  :character   Mode  :character  
##  Mean   :  2.243                                                           
##  3rd Qu.:  0.000                                                           
##  Max.   :800.000                                                           
##                                                                            
##     Misc.Val           Mo.Sold          Yr.Sold      Sale.Type        
##  Min.   :    0.00   Min.   : 1.000   Min.   :2006   Length:2930       
##  1st Qu.:    0.00   1st Qu.: 4.000   1st Qu.:2007   Class :character  
##  Median :    0.00   Median : 6.000   Median :2008   Mode  :character  
##  Mean   :   50.63   Mean   : 6.216   Mean   :2008                     
##  3rd Qu.:    0.00   3rd Qu.: 8.000   3rd Qu.:2009                     
##  Max.   :17000.00   Max.   :12.000   Max.   :2010                     
##                                                                       
##  Sale.Condition       SalePrice     
##  Length:2930        Min.   : 12789  
##  Class :character   1st Qu.:129500  
##  Mode  :character   Median :160000  
##                     Mean   :180796  
##                     3rd Qu.:213500  
##                     Max.   :755000  
## 
dim(ames)
## [1] 2930   82
## Summary statistics for SalePrice and LotArea

summary(ames$SalePrice)
##    Min. 1st Qu.  Median    Mean 3rd Qu.    Max. 
##   12789  129500  160000  180796  213500  755000
summary(ames$Lot.Area)
##    Min. 1st Qu.  Median    Mean 3rd Qu.    Max. 
##    1300    7440    9436   10148   11555  215245
### Count of unique values in Neighborhood column
table(ames$Neighborhood)
## 
## Blmngtn Blueste  BrDale BrkSide ClearCr CollgCr Crawfor Edwards Gilbert  Greens 
##      28      10      30     108      44     267     103     194     165       8 
## GrnHill  IDOTRR Landmrk MeadowV Mitchel   NAmes NoRidge NPkVill NridgHt  NWAmes 
##       2      93       1      37     114     443      71      23     166     131 
## OldTown  Sawyer SawyerW Somerst StoneBr   SWISU  Timber Veenker 
##     239     151     125     182      51      48      72      24
## Average SalePrice by Neighborhood

library(dplyr)
## 
## Attaching package: 'dplyr'
## The following objects are masked from 'package:stats':
## 
##     filter, lag
## The following objects are masked from 'package:base':
## 
##     intersect, setdiff, setequal, union
ames %>% group_by(Neighborhood) %>%
summarise(mean_price = mean(SalePrice, na.rm = TRUE))
## # A tibble: 28 × 2
##    Neighborhood mean_price
##    <chr>             <dbl>
##  1 Blmngtn         196662.
##  2 Blueste         143590 
##  3 BrDale          105608.
##  4 BrkSide         124756.
##  5 ClearCr         208662.
##  6 CollgCr         201803.
##  7 Crawfor         207551.
##  8 Edwards         130843.
##  9 Gilbert         190647.
## 10 Greens          193531.
## # ℹ 18 more rows
## Distribution of SalePrice

library(ggplot2)
### Histogram of SalePrice
ggplot(ames, aes(x = SalePrice)) +
geom_histogram(binwidth = 10000, fill = "blue", color = "black") +
labs(title = "Distribution of SalePrice", x = "Sale Price", y = "Frequency")

## Relationship between LotArea and SalePrice
### Scatter plot of LotArea vs SalePrice
ggplot(ames, aes(x = Lot.Area, y = SalePrice)) +
geom_point() + labs(title = "Lot Area vs Sale Price", x = "Lot Area", y = "Sale Price")

## Interaction between Categorical and Continuous Variables

### Scatter plot of LotArea vs SalePrice colored by Neighborhood
ggplot(ames, aes(x = Lot.Area, y = SalePrice, color = Neighborhood)) +
geom_point() + labs(title = "Sale Price by Lot Area and Neighborhood")

## Insights

###1.The SalePrice distribution shows a right skew, indicating a few very expensive properties.
###2. There is a positive correlation between LotArea and SalePrice, but neighborhood plays a role in affecting prices.
###3. Neighborhood has a clear impact on house prices, with some neighborhoods consistently having higher or lower average prices.