jmc

If the coordinates of the point halfway between the two points are $(x,y)$, then $x$ must be the average of the $x$-coordinates $3$ and $5$ and $y$ must be the average of the $y$-coordinates $7$ and $1$. The average of $3$ and $5$ is $\frac{3+5}{2}=4$ and the average of $7$ and $1$ is $\frac{7+1}{2}=4$, so the $(x,y)=\boxed{(4,4)}$.