You need to know – What is the appraisal principle of regression?

YouNeedToKnowWeb500The appraisal principal of regression states that the value of a property is negatively affected by association with an inferior property of the same type

This principal tells us that the value of a high priced property will decrease in value towards the value of less expensive property in the same area

Along with the principal of progression (which has the opposite effect), the principal of regression leads to property prices moving towards a narrow band within the same area