One problem with price/area (price/sqft) data is that it
doesn’t capture the “land versus structure” areal size
impact on the total price. Hence it can also look skewed.
Do any of the resident economists have insights to share?
I suspect what we need is to bin (group) the data by lot
size and house size, and deduce a land price and a
structure price (per sqft).
Perhaps property tax data would be helpful, because
it lists the value of “land” and “improvements” separately.
PS: Has anyone noticed how realtors do not understand the
word “area” in the geometrical sense, you have to say
“square footage” or “lot size” :-). For example:
Me: What’s the area of the property?
Realtor: It’s in poway, which is a great school district,
blah, blah, blah
