The mean selling price of a sample of condominiums in Midland,MI was calculated to be $740,000while the mean selling price of single-family homes was calculated to be $975,000.If a regression model was fit to predict the selling price of a home,based on a binary predictor for whether it was a condominium (x =1represents the condominium group),then what is the estimated regression model fit to these data (in thousands of dollars)?

1. y-hat =975-235x
2. y-hat=740+235x
3. y-hat=975+740x
4. y-hat=740+975x
5. Cannot be determined from the information given (need to know sample sizes)