Final answer:
The equations to determine the maximum and minimum home values are Maximum = $324,000 + $15,000 and Minimum = $324,000 - $15,000, resulting in $339,000 and $309,000, respectively. This reflects the local fluctuation in housing prices within a national trend of appreciation over time.
Step-by-step explanation:
The question is asking for an equation that can determine the maximum and minimum home values in a neighborhood given an average home price and a variation range. Since the average price of a home in the neighborhood is $324,000 and the variation is $15,000 above or below this average, the equations to determine the maximum and minimum home values would be:
Maximum home value = average home value + variation
Minimum home value = average home value - variation
Therefore, the equations are:
Maximum home value = $324,000 + $15,000 = $339,000
Minimum home value = $324,000 - $15,000 = $309,000
Housing prices trends indicate that the median sales price for homes usually increases over time, which provides homeowners with a potential financial return due to appreciation in housing values. However, this national trend can differ significantly when looked at on a local scale where prices may fluctuate in different directions.