Design an Automated Home-Price Valuation Model

Scenario

Building an automated house-price valuation service for a real-estate platform.

Question

Walk us through how you would design a home-price estimation model, covering: target metric definition, data collection, data splitting strategy, feature engineering, model selection, validation, deployment monitoring, and handling user complaints about prediction errors.

Hints

Discuss hit-rate style metric, multi-year sale history, time-based or geo split, comparable sales & economic indicators as features, baseline linear → tree models, suburb-level monitoring, and clear communication with users.