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First, normalize out example.

x_house = np.array([1200, 3, 1, 40])

x_house_norm = (x_house - X_mu) / X_sigma

print(x_house_norm)

x_house_predict = np.dot(x_house_norm, w_norm) + b_norm

print(f" predicted price of a house with 1200 sqft, 3 bedrooms, 1 floor, 40 years old = ${x_house_predict***1000**:0.0f}")

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Why does the final prediction multiply 1000? The X, w and b are all used normalized values. Suppose the predicted house value is a normalized value too. Thanks very much.

@tonylei ,

Welcome to the community. We havenâ€™t normalized the target variable `y_train`

. The predicted value is multiplied by 1000 because `y_train`

is the price in 1000s of dollars.

Thanks a lot Vignesh, very helpful.