I am an executive being transferred from my home city on the west coast to one in the Midwest. I know nothing about the city I'm moving to, but I have to buy a house there. Realtors have told me all sorts of things about the area, but I don't trust them. Instead, I had data compiled on housing appraisals and pricing at sale, and the ratios of those two characteristics. It seems to me that the ratio of sale price to appraised price is a good indicator of how desirable a neighborhood is, but it's possible that there is skullduggery going on (crooked appraisers, for example), so I may be wrong in depending too much on this number. I need some guidance from your analysis to know.
I know I can't tell everything about a neighborhood from these numbers, but I'll use them as a starting point. I myself am not well versed in statistical analysis, so I'm hiring you to perform a basic analysis for me. Be assured that my brother-in-law is a stats teacher, so your analysis should be rigorous. But for me, you must write a report that, while it includes all your reasoning and calculations, still has parts that sum up your analysis and your recommendations in simple layman's terms. In the end, I will want your recommendations based on your analysis. I not only want your calculations, but your explanations.
My questions to you are: