ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

Real-Time Housing Market Update

Published by Altos Research & Real IQ

December 8, 2009

Highlights
 The Altos Research 10-City Composite Price was down by 0.4% in November and
The Altos 10-City 0.8% during the most recent three-month period.
 The Composite effectively bottomed out in January at $470,017 and climbed
Composite presents throughout the first half of the year to $509,030 in July before returning to a gradual
the most current downward trend. Prices are likely to continue showing modest declines throughout
perspective on 
the seasonally weak fall and winter months of 2009.
Asking prices increased in just one of 26 markets - Miami. The previously strong
housing market California markets all showed price declines during November.
conditions across  The largest monthly drop in asking prices occurred in San Diego with prices falling
3.1%, followed closely by Salt Lake City which showed a 2.9% decline. Salt Lake
the country. The City experienced the steepest quarterly drop in asking prices – down 6.1%.
Composite median  Listed property inventory declined in 22 of 26 markets tracked. The inventory
declines were largest in Boston and the Bay Area markets of San Francisco and San
price fell by 0.4% in Jose.
November 2009.  All markets except San Francisco and San Jose had a median days-on-market of 100
or more in November. By far, the market with the slowest rate of inventory
turnover was Miami with a median of 225 days-on-market or more than seven
months.

November Home Price Trends

The 10-City Composite Index was down 0.4% during November and 0.8% for the most
recent three-month period. The Index started the year in January at $470,017 and reached a
yearly high of $509,030 in July before falling to $499,267 in November. The downturn
would likely have been worse were it not for historically low mortgage rates and the federal
government’s home buyer tax credit which was recently extended beyond its November
expiration date.

Listing prices fell in 25 of 26 markets during November with Miami being the only
exception. The largest monthly declines occurred in San Diego and Salt Lake City with
asking prices down 3.1% and 2.9% respectively. Prices fell by more than one percent during
the month in 10 other markets. The rate of decline has slowed in Las Vegas but that market
continues to show the largest decline during the downturn. In November, 2007, the median
asking price was $347,597 but it fell to just $168,162 in November, 2009.

Asking prices increased in just one of 26 markets - Miami - with an increase of 1.0% for
November and 1.3% during the most recent three-month period.

© 2009 Altos Research LLC and Real IQ -1-

 ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

Altos Research Price Composite

% Change
September October November % Change Over 3
MSA 2009 2009 2009 Last Month Months

10 City
$ 503,401 $ 501,377 $ 499,267 -0.4% -0.8%
Composite

San Diego $ 872,654 $ 864,465 $ 837,981 -3.1% -4.0%

Salt Lake City $ 396,139 $ 382,970 $ 371,930 -2.9% -6.1%

Charlotte $ 263,205 $ 259,884 $ 254,956 -1.9% -3.1%

Denver $ 401,214 $ 396,686 $ 389,681 -1.8% -2.9%

Portland $ 341,382 $ 336,025 $ 330,504 -1.6% -3.2%

Atlanta $ 235,250 $ 232,721 $ 229,262 -1.5% -2.5%

Phoenix $ 317,796 $ 311,050 $ 307,114 -1.3% -3.4%

Austin $ 306,473 $ 303,015 $ 299,233 -1.2% -2.4%

Cleveland $ 176,061 $ 174,298 $ 172,301 -1.1% -2.1%

Houston $ 241,075 $ 237,333 $ 234,723 -1.1% -2.6%

Las Vegas $ 172,068 $ 169,958 $ 168,162 -1.1% -2.3%

Minneapolis $ 301,595 $ 300,629 $ 297,707 -1.0% -1.3%

Seattle $ 414,177 $ 410,989 $ 407,592 -0.8% -1.6%

Tampa $ 227,176 $ 223,872 $ 222,149 -0.8% -2.2%

San Jose $ 811,798 $ 819,535 $ 813,365 -0.8% 0.2%

Los Angeles $ 734,941 $ 719,884 $ 714,473 -0.8% -2.8%

Chicago $ 326,339 $ 322,994 $ 320,571 -0.8% -1.8%

Detroit $ 159,339 $ 157,229 $ 156,066 -0.7% -2.1%

Indianapolis $ 174,052 $ 172,317 $ 171,195 -0.7% -1.6%

Washington, DC $ 457,239 $ 452,910 $ 450,281 -0.6% -1.5%

Dallas $ 248,803 $ 246,135 $ 245,045 -0.4% -1.5%

New York $ 654,959 $ 653,117 $ 650,536 -0.4% -0.7%

Boston $ 495,628 $ 492,942 $ 491,091 -0.4% -0.9%

San Francisco $ 815,291 $ 823,931 $ 820,903 -0.4% 0.7%

Philadelphia $ 351,185 $ 350,202 $ 349,549 -0.2% -0.5%

Miami $ 484,045 $ 485,472 $ 490,197 1.0% 1.3%

© 2009 Altos Research LLC and Real IQ -2-

 ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

November Housing Supply Trends

During November, the inventory of properties listed for sale declined by 2.9% across the 10-
City Composite Index markets. Inventory declined in 22 of 26 markets.

Inventory fell by the largest amount in Boston down 10.0% and San Francisco where it
contracted by 9.7%. Decreasing inventory is typical during the seasonally slow fall and
winter months. The limited but widespread decline in listed-property inventory should help
moderate near-term price declines.

Inventory increased by the largest amount in San Diego – up 3.9% - followed by Phoenix
and New York – up 2.9% and 2.1% respectively.

Listing Inventory
% Change
% Change
MSA September October November Over 3
Last Month
2009 2009 2009 Months

10 City Composite 262,150 253,186 245,893 -2.9% -6.2%

Boston 16,233 15,652 14,086 -10.0% -13.2%

San Francisco 7,979 7,535 6,806 -9.7% -14.7%

San Jose 4,030 3,732 3,473 -6.9% -13.8%

Minneapolis 17,178 16,304 15,203 -6.8% -11.5%

Chicago 59,521 56,835 53,319 -6.2% -10.4%

Denver 13,668 13,043 12,250 -6.1% -10.4%

Austin 11,025 10,491 9,858 -6.0% -10.6%

Detroit 32,208 29,407 27,754 -5.6% -13.8%

Seattle 23,359 22,415 21,196 -5.4% -9.3%

Washington, DC 20,256 19,615 18,674 -4.8% -7.8%

Indianapolis 13,808 13,295 12,699 -4.5% -8.0%

Dallas 32,229 30,852 29,566 -4.2% -8.3%

Cleveland 13,736 13,209 12,671 -4.1% -7.8%

Philadelphia 25,497 24,475 23,569 -3.7% -7.6%

Portland 13,639 13,149 12,670 -3.6% -7.1%

Salt Lake City 7,434 7,167 6,928 -3.3% -6.8%

Houston 31,848 30,586 29,836 -2.5% -6.3%

Charlotte 15,315 14,956 14,596 -2.4% -4.7%

Atlanta 38,750 37,292 36,420 -2.3% -6.0%

Los Angeles 31,001 30,107 29,448 -2.2% -5.0%

Miami 30,497 29,292 28,906 -1.3% -5.2%

© 2009 Altos Research LLC and Real IQ -3-

 ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

Las Vegas 20,488 20,437 20,331 -0.5% -0.8%

Tampa 19,124 18,909 19,143 1.2% 0.1%

New York 54,838 52,822 53,950 2.1% -1.6%

Phoenix 26,574 26,616 27,395 2.9% 3.1%

San Diego 6,885 7,088 7,365 3.9% 7.0%

November Housing Market Demand Trends

During November every market except San Francisco and San Jose had a median days-on-
market of 100 or more. By far, the market with the slowest rate of inventory turnover was
again Miami, now at a median of 225 days-on-market or more than 7 months. That reflects a
substantial decline from 251 days-on-market in September and 244 in October. San
Francisco experienced the fastest rate of inventory turnover at a median of 89 days-on-
market.

Average Days on Market

% Change
September October November % Change Over 3
MSA 2009 2009 2009 Last Month Months

10 City Composite 156 156 154 -1.1% -1.4%

Miami 251 244 225 -7.8% -10.3%

Chicago 177 180 187 3.7% 5.7%

Atlanta 181 177 174 -1.7% -3.9%

Charlotte 179 176 178 1.1% -0.4%

Detroit 172 171 174 2.0% 1.4%

Tampa 162 163 156 -4.4% -3.5%

New York 152 155 144 -7.4% -5.2%

Cleveland 153 155 158 2.3% 3.5%

Philadelphia 141 148 153 2.9% 8.3%

Washington, DC 149 147 153 4.1% 2.6%

Indianapolis 133 134 138 2.7% 4.0%

Denver 132 134 139 3.9% 5.1%

Phoenix 135 133 128 -3.8% -5.2%

Seattle 129 132 138 4.4% 6.5%

Minneapolis 129 130 135 3.8% 4.8%

Portland 121 127 129 1.5% 6.3%

© 2009 Altos Research LLC and Real IQ -4-

 ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

Los Angeles 125 120 121 0.4% -2.9%

Houston 118 120 122 1.5% 3.4%

Dallas 113 117 120 2.3% 6.1%

Austin 112 117 120 3.2% 7.6%

Las Vegas 117 114 115 0.6% -1.8%

Boston 110 112 116 3.9% 5.3%

Salt Lake City 118 107 112 4.8% -5.1%

San Diego 108 104 109 5.4% 1.5%

San Jose 111 103 99 -4.0% -11.3%

San Francisco 88 85 89 5.2% 1.4%

Methodology
The Altos Research—Real IQ Real-Time Housing Report provides data on current housing
market conditions in major markets around the country. Unlike other data sources that lag
several months behind the market, this report summarizes metrics associated with active
residential property listings to present the only real-time view of the housing market.

Each ―market‖ measured in this report is equivalent to the Census Bureau's Metropolitan
Statistical Area (MSA) dominated by the city listed. Properties analyzed in this data included
repeat sales of single-family homes. Condominiums and town homes are not included in the
data set. New construction is not included in the data set. The Altos Research Price Index is a
statistical compilation of property prices highly correlated with the S&P/Case Shiller®
Index. The Altos 10-City Composite is based on single family homes in Boston, Chicago,
New York, Los Angeles, San Diego, San Francisco, Miami, Las Vegas , Washington D.C,
Denver. For more information visit AltosResearch.com.

© 2009 Altos Research LLC and Real IQ -5-

 ALTOS RESEARCH | REALIQ: December 2009: REAL-TIME HOUSING MARKET UPDATE

About Real IQ
Real IQ provides housing market analysis and consulting services to leading mortgage and
real estate companies including: Bank of America, Realogy, Weichert, Long & Foster,
LendingTree and others. More information about Real IQ is located at www.realiq.com.

About Altos Research

Altos Research LLC pioneered real-time real estate market research. Founded in 2005, the
company's information products serve investors, derivatives traders, and thousands of real
estate professionals. The company publishes analytical reports and data feeds each week for
thousands of zip codes including all 20 S&P/Case Shiller markets summarized in this report.

The Altos Research—Real IQ Housing Market Update is jointly produced by Real IQ™ and
Altos Research. If you have any questions regarding this report, please contact Stephen
Bedikian or Michael Simonsen.

Michael Simonsen
CEO & Co-Founder
Altos Research LLC
Tel: 888-819-7775
Web: www.altosresearch.com
Email: mike@altosresearch.com

© 2009 Altos Research LLC and Real IQ -6-