Question

A seller has a house that is 1700 ft^2. The neighborhood comps show the line of best fit to be y=0.074x + 50.48. What is a fair price for this house?

Answer 1

Let the price for the house be x and the square feet of the house be y,
when the house is 1700 sq ft, y = 1700.

y = 0.074x + 50.48
1700 = 0.074x + 50.48
0.074x = 1700 - 50.48
0.074x = 1649.52
x = 22 290.81 (to the nearest cent)

A fair price for this house would be $22 290.81.