Used Car Price Prediction Using

Random Forest Algorithm

Supervised by: Prepared by:

Er. Narayan K.C Bidhya Sagar Paudel/ 18700

Er. Anil Pudasaini
Shisir Regmi/ 18702
Shreedhar Pandey/ 18703
Shubham Raj Keshari/ 18704
 INTRODUCTION

• Buying pre-owned cars are popular

• Common to lease a car
• Estimation of the actual price
• Random Forest Regression used for this project

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 PROBLEM STATEMENT

• Lack of online services

• Broker issue
• Bad estimation
• Purchaser’s confusion

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 PROJECT OBJECTIVES
order to make informed purchases
• Accurate prediction
• User friendly
• To escape from racketeering

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 Random Forest Algorithm

• Supervised learning technique

• Based on ensemble learning
• Contains decision tree
• Prediction from each tree
• Average for prediction
• Based on the majority votes
• Continuous value as an output

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 HOW IT WORKS?
• Select random K data set
• Build the decision trees
• Decision tree will generate an output
• Output is considered based on majority Voting

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Random Forest Algorithm

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 Features

• Viewing and comparing the prices of cars

• To get a better result with accuracy
• Easier for anyone to use it

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 SYSTEM REQUIREMENTS

Hardware requirements
• Operating system - Windows 7/8/10
• Processor- Dual Core 1.8 GHz (i3 or i5 series Intel processor or equivalent AMD)
• RAM – 2 GB or more

Software Requirements
• Python
• PyCharm
• Jupyter Notebook
• Excel
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 LITERATURE REVIEW
We have studied the following topics for this project:
• Research titled “Car’s Selling Price Prediction using Random Forest Machine Learning
Algorithm”
• Car Price Prediction Using Machine Learning Techniques in Bosnia and Herzegovina.
• Paper Written by Listian during her Master Thesis.

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METHODOLOGY

DFD Level 0

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DFD Level 1

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Flowchart

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Use Case Diagram

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 Software Development Model

• We will follow the Incremental model

• Requirements are divided into multiple

standalone modules

• Highest priority requirement is tackled first

• Simple to manage risk because it handled

during its iteration

• Easier to test and debug

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 Results & Analysis
We have trained our model and prices predicted by our models is shown below:

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The total number of cars we have deployed for the training purpose

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This is the format of the datasets we have collected

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An UI developed for our user to predict the price of cars

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The accuracy we got using the Linear Regression is shown below, i.e. 71.9%

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The accuracy we got using the Decision Tree Regression is shown below, i.e. 76.1%

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The accuracy we got using the Random Forest Algorithm is shown below, i.e. 83%

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 Limitations
• Less number of datasets

• There could be more features that can be good predictors.

• Data cleaning process could be enhanced.

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 Future Enhancements
• Better UI design.
• More number of dataset.
• Displaying predicted price on the same page.
• Displaying the specific model

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Thank you!!!!!

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