ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

Real-Time Housing Market Update

Published by Altos Research & Real IQ

March 17, 2010

Highlights
 The Altos Research 10-City Composite Price Index was down by 1.3% in February
The Altos 10-City and 3.0% during the most recent three-month period.
 The Index has now shown sequential monthly declines for the past seven months.
Composite Though readings of weekly price changes have shown modest expected seasonal
presents the most increases in the past 7 weeks, indicating that the headline price number will tick up
current in the coming months.
 Asking prices fell in all 26 markets. The previously strong California markets all
perspective on showed steep price declines during February. The largest monthly asking price
housing market drops occurred in San Francisco with prices falling 4.4%, followed closely by San
Diego down 4.2%. San Francisco experienced the steepest quarterly drop in asking
conditions across prices – down 10.9%.
the country. The  Listed property inventory jumped in 24 of 26 markets tracked. The inventory
increases were largest in San Jose, San Francisco, Austin and San Diego. The big
Composite inventory rise is seasonally expected after the low point at the first of the year.
median price fell Nationally inventory is 10% lower than last year at this time, though climbing
by 1.3% in rapidly going into the spring.
 All markets except San Francisco and San Jose had a median days-on-market of 100
February 2010. or more in February. Chicago edged out Miami as the market experiencing the
slowest turnover with a median of 220 days-on-market or more than 7 months.

February Home Price Trends

The 10-City Composite Index was down 1.3% during February and 3.0% for the most recent
three-month period. The Composite Index effectively bottomed out in January 2009 at
$470,017, climbed throughout the first half of 2009 to $509,030 in July before returning to a
gradual downward trend. The Index stood at $479,781 as of February 2010 reflecting a
decline of 5.75% since its 2009 summer high. Early indicators of pricing indicate that
monthly price declines will be somewhat abated by the normal spring selling season.

The market has been heavily influenced by the Federal Reserve’s mortgage-backed securities
purchase program which has kept mortgage rates historically low and by the federal
government’s home buyer tax credit. Both programs are scheduled to end during the next
several months. The Index may retrace its 2009 lows before it turns up in the seasonally
strong spring and summer months.

Listing prices fell in all 26 major markets during February. The largest monthly decline
occurred in San Francisco with prices falling 4.4% during February and 10.9% for the most
recent three-month period. Prices fell by more than two percent during the month in 8 other
markets. Miami experienced the smallest decline with prices decreasing by 0.2%.

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 ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

Altos Research Price Composite

% Change
December January February % Change Over 3
MSA 2009 2010 2010 Last Month Months

10 City
$ 494,426 $ 486,259 $ 479,781 -1.3% -3.0%
Composite

San Francisco $ 799,017 $ 744,505 $ 712,048 -4.4% -10.9%

San Diego $ 801,627 $ 758,462 $ 726,408 -4.2% -9.4%

Denver $ 380,403 $ 366,238 $ 355,361 -3.0% -6.6%

Phoenix $ 303,165 $ 295,465 $ 288,184 -2.5% -4.9%

Tampa $ 219,715 $ 216,296 $ 210,973 -2.5% -4.0%

San Jose $ 793,752 $ 758,610 $ 740,304 -2.4% -6.7%

New York $ 638,082 $ 620,268 $ 605,947 -2.3% -5.0%

Salt Lake City $ 358,811 $ 351,884 $ 344,798 -2.0% -3.9%

Seattle $ 400,184 $ 390,003 $ 382,374 -2.0% -4.5%

Detroit $ 153,867 $ 150,342 $ 147,456 -1.9% -4.2%

Dallas $ 242,198 $ 236,574 $ 232,147 -1.9% -4.1%

Minneapolis $ 293,221 $ 287,057 $ 281,775 -1.8% -3.9%

Portland $ 323,884 $ 315,362 $ 309,898 -1.7% -4.3%

Charlotte $ 248,543 $ 241,277 $ 237,368 -1.6% -4.5%

Austin $ 294,467 $ 287,977 $ 284,017 -1.4% -3.5%

Philadelphia $ 346,994 $ 341,991 $ 337,360 -1.4% -2.8%

Atlanta $ 225,050 $ 218,873 $ 216,042 -1.3% -4.0%

Indianapolis $ 169,500 $ 167,331 $ 165,306 -1.2% -2.5%

Chicago $ 316,232 $ 310,508 $ 306,972 -1.1% -2.9%

Washington, DC $ 445,289 $ 436,260 $ 431,423 -1.1% -3.1%

Boston $ 486,815 $ 479,726 $ 475,711 -0.8% -2.3%

Houston $ 232,544 $ 229,622 $ 227,730 -0.8% -2.1%

Las Vegas $ 166,338 $ 164,513 $ 163,315 -0.7% -1.8%

Los Angeles $ 712,964 $ 707,355 $ 702,274 -0.7% -1.5%

Cleveland $ 169,719 $ 167,027 $ 166,084 -0.6% -2.1%

Miami $ 494,992 $ 501,523 $ 500,436 -0.2% 1.1%

© 2010 Altos Research

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 ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

February Housing Supply Trends

During February, the inventory of properties listed for sale ballooned by 8.3% across the 10-
City Composite Index markets. Inventory increased in 24 of 26 markets, was flat in Detroit
and decreased slightly in Salt Lake City. Nationally inventory is 10% lower than this time in
2009, though growing rapidly into the spring.

Inventory increased at the fastest rate in San Jose and San Francisco, up 18.6% and 15.8%
respectively. The Bay Area markets and San Diego were among the strongest during the
summer of 2009 but have seen sharp price declines and inventory increases recently.

Listing Inventory
% Change
% Change
MSA December January February Over 3
Last Month
2009 2010 2010 Months

10 City Composite 233,417 233,920 253,265 8.3% 8.5%

San Jose 3,151 3,342 3,962 18.6% 25.7%

San Francisco 5,951 6,331 7,333 15.8% 23.2%

Austin 9,133 9,040 10,134 12.1% 11.0%

San Diego 7,094 7,364 8,251 12.0% 16.3%

Denver 11,174 11,448 12,769 11.5% 14.3%

Los Angeles 25,739 26,921 29,854 10.9% 16.0%

Boston 12,221 12,077 13,377 10.8% 9.5%

Chicago 49,867 49,491 54,798 10.7% 9.9%

Minneapolis 13,946 13,843 15,253 10.2% 9.4%

Seattle 19,792 19,924 21,575 8.3% 9.0%

Tampa 18,879 18,893 20,328 7.6% 7.7%

Phoenix 27,599 28,627 30,753 7.4% 11.4%

Portland 12,129 12,161 13,040 7.2% 7.5%

Miami 28,509 28,371 30,246 6.6% 6.1%

New York 55,060 54,867 58,255 6.2% 5.8%

Dallas 28,442 29,309 31,042 5.9% 9.1%

Atlanta 35,483 34,676 36,687 5.8% 3.4%

Cleveland 12,073 12,080 12,743 5.5% 5.5%

Indianapolis 11,897 12,131 12,794 5.5% 7.5%

Las Vegas 19,662 19,258 20,003 3.9% 1.7%

Houston 28,491 30,317 31,433 3.7% 10.3%

Philadelphia 22,279 22,276 23,066 3.5% 3.5%

© 2010 Altos Research

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 ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

Washington, DC 17,415 17,028 17,561 3.1% 0.8%

Charlotte 14,008 14,025 14,460 3.1% 3.2%

Detroit 27,647 27,026 27,023 0.0% -2.3%

Salt Lake City 6,661 7,341 7,184 -2.1% 7.9%

February Housing Market Demand Trends

During February every market except San Jose and San Francisco had a median days-on-
market of 100 or more. Chicago edged out Miami as the market experiencing the slowest
turnover with a median of 220 days-on-market or more than 7 months versus 219 in Miami.
San Francisco experienced the fastest rate of inventory turnover at a median of 86 days-on-
market.

Average Days on Market

% Change
December January February % Change Over 3
MSA 2009 2010 2010 Last Month Months

10 City Composite 166 172 166 -3.7% -0.3%

Chicago 211 220 220 -0.4% 4.3%

Miami 247 244 219 -10.2% -11.3%

Charlotte 201 206 203 -1.1% 1.2%

Atlanta 214 222 191 -13.9% -11.0%

Cleveland 175 185 188 1.5% 7.0%

Detroit 190 189 187 -1.1% -1.3%

Washington, DC 174 181 182 0.4% 4.4%

Philadelphia 172 175 179 1.8% 4.1%

Indianapolis 154 161 162 0.1% 5.0%

Minneapolis 198 162 156 -3.5% -21.2%

Denver 187 164 155 -5.1% -16.8%

Seattle 198 158 155 -2.0% -22.0%

Tampa 155 154 147 -4.5% -5.1%

New York 132 152 145 -4.6% 9.8%

Portland 141 142 145 2.1% 2.9%

Austin 136 142 138 -2.6% 2.1%

Phoenix 146 145 138 -4.8% -5.1%

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 ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

Dallas 154 169 137 -18.8% -11.2%

Las Vegas 129 134 136 1.7% 5.4%

Salt Lake City 122 132 134 1.6% 9.7%

Houston 135 137 131 -4.0% -2.9%

Boston 130 135 130 -3.6% -0.1%

Los Angeles 126 126 119 -5.0% -5.2%

San Diego 111 110 108 -1.3% -2.0%

San Jose 110 102 99 -3.2% -10.4%

San Francisco 99 94 86 -8.6% -12.7%

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.

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 ALTOS RESEARCH | REALIQ: March 2010: REAL-TIME HOUSING MARKET UPDATE

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

© 2010 Altos Research

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