Tuesday, July 27, 2010

Fun with math! The Housing market

HEADLINE- "S&P/Case-Schiller Home Prices Rise 4.6% .vs. Year Ago"

wow what a fantastic statistic! home prices are rising! I'd like to ask you some questions and work through a fun math problem!

The tax credit was $8,000 right? 
     -yes

Was there a tax credit in 2009 at this point in time? 
     -no

So if you were to find out what the median home price is what would that be?
     -i went here (Data from National Association of Realtors) and found out it is about $180,000

Thanks! now what is $8,000 divided by $180,000
     -ummmm 4.4% repeating

Wow look at that! people selling their houses knew that the people buying were going to receive $8,000 and they raised the price of their house an average of $8,000. What a great deal for new home buyers using the tax credit!!!

1 comment:

Anonymous said...

I love this math! And who says the American public is stupid???