Inference of the Market Value of Urban Lots From the Perspective of Survival Analysis. Case Study: City of São Carlos, São Paulo, Brazil

Abstract

The survival analysis was originally proposed for data analysis related to time before the occurrence of a specific event of interest and has been widely used in studies of biomedical data (survival analysis), industrial research (reliability analysis) and financial data (credit scoring). In this study, we presented a new approach to modeling the market value of urban lots based on survival analysis considering the left censoring mechanism, which allows estimating the probability for sale and the hazard associated with sales at the lot market value. The modeling is made from the survival analysis that introduces greater flexibility when compared to the usual linear models as it allows including the effectively traded lots (not censored) and lots in negotiation (censored) into the process, however, it is not enough to affirm the effective improvement of models based on the survival analysis.