Re:Can AI Predict the Next Area to Gentrify?
by notahacker on Sunday December 23, 2018 @06:49AM
(#18745614)
Also, it's likely a lot of the trends easily incorporated into a computer model (price movements, demographic changes, transport changes, retail outlet changes etc) significantly lag the policy decisions that make them possible. So if you want to profit from real estate price growth in a city, I'd imagine human understanding of why an area might gentrify in future outperforms machine understanding of indicators the area is starting to gentrify. Still, the long time to close a deal also means real estate markets are far from efficient, so there's likely to still be profit to be made with a machine telling you where to look, especially if you do the rest of your research properly.
Down at the neighborhood level, a single policy decision or decision to sit on a big plot of land instead of developing it can completely halt gentrification and reverse it.