In Australia close to 70 percent of households either own or are in the process of buying their home. This love affair with property ownership and the growing population of Australias major cities has dramatically increased property prices. Assume that you want to buy a property in the sutherland area in sydney, postcode 2232. How do you know that you can afford a property in this area? How do you find out what a property in that area is really worth? How do you know the status of the property market? Is it hot or cold? Purchasers are often swamped with advertisements claiming bargain buy and priced below real value and other loose and usually unsubstantiated claims. It is difficult to find the answers to these questions merely by looking at the prices of advertised properties. Would you just take advice from a real estate agent on the value of a property? Would you buy a property just because you like it? One way to analyse the prices in this area is to look at past sales in the suburb. A report like home price guides postcode report of RP datas suburb profile provides a general understanding of prices in the area. A report for sales within the area defined by post code 2232, includes sales in sutherland as well as loftus, grays point, kirrawee, woronora, and kareela. The figure below shows some statistics related to sutherland and loftus for property prices for houses: 6 months to january 2018. Sutherland: Median ($000) = 469 Median change over last 6 months = -4% Average days on market = 38 Loftus: Median ($000) = 536 Median change over last 6 months = 9% Average days on market = 44 In the data above, only one statistical indicator related to price is reported. The median house price is a summary measure that gives an indicator of the prices in a suburb. Sutherlands median price, $469000 indicates that the prices of 50% of houses sold in sugherland are below $469000, and 50% are above $469000. The average days on the market, 38 days for sutherland, is the sum of the number of days to make each sale divided by the number of sales. 1. Assume that you have purchased a report on the propertied sold in a one year period in loftus. The data are shown below in $000: 485 470 562 380 536 502 650 314 636 575, 560, 560, 512, 505, 502, 630, 314, 636, 500, 550, 521, 470, 565, 490, 546, 483, 509, 525, 495, 445, 470, 585, 485, 546, 552, 470, 490, 465, 455, 560, 510, 592, 525. The data in this form are particularly helpful. Summarise the data so that you can address the question of affordability in loftus