Santa Clara County Market Update August 2009

June 2009 to July 2009 INVENTORY CLOSED SALES MEDIAN SALE 2739 1233 $590,000 3.6 % 1.7 % 7.3 %

July 2008 to July 2009 INVENTORY CLOSED SALES MEDIAN SALE 49.0 % 2739 1233 $590,000 38.2 % 18.0 %

Interest Rates May 12 th , 2009 30-Year Fixed APR: 4.75% Principal: $400,000 P &I Payment: $2,087 August 7 th , 2009 30-Yr Fixed APR: 5.50% Principal: $380,000 P & I Payment: $2,158 Waiting for prices to drop doesn't always make sense.

Interest Rates

Pricing to Sell

Thirty Second Update Market conditions vary by area and price range Inventory is about half of what it was a year ago Sales are higher than we've seen in three years Median sale price lower than 2008, but rising fast as we move away from a foreclosure driven market Median sale price up 31% since January 2009 All real estate is local, especially in this market, which area and price range are you interested in?

Market conditions vary by area and price range

Inventory is about half of what it was a year ago

Sales are higher than we've seen in three years

Median sale price lower than 2008, but rising fast as we move away from a foreclosure driven market

Median sale price up 31% since January 2009

All real estate is local, especially in this market, which area and price range are you interested in?

More Talking Points 39.0% of listings sold for more than asking price Many of the REO bargains have been snapped up by all cash investors and first time homebuyers Initiated sales tapering off as expected due to seasonal factors, so sellers need to be aggressive Fannie Mae has raised refi limit to 125% LTV 30 year fixed rates fluctuating between 5% and 6% More than 20% of mortgages may be underwater

39.0% of listings sold for more than asking price

Many of the REO bargains have been snapped up by all cash investors and first time homebuyers

Initiated sales tapering off as expected due to seasonal factors, so sellers need to be aggressive

Fannie Mae has raised refi limit to 125% LTV

30 year fixed rates fluctuating between 5% and 6%

More than 20% of mortgages may be underwater

About Me Everything you need to know about buying or selling a home can be found by visiting my website at HeideWolfReid.com . As the preeminent real estate professional in my community, I am dedicated to providing the finest service available while breaking new ground. Because the real estate industry is becoming more sophisticated and challenging every day, you need a professional that understands the industry and is positioned to stay ahead of the game. I go the extra mile to help you achieve your goals. Call or email me today! Heide Wolf-Reid ALTERA REAL ESTATE 1125 Meridian Avenue San Jose, CA 95125 Phone: 408-667-9298 Email: [email_address]

Everything you need to know about buying or selling a home can be found by visiting my website at HeideWolfReid.com .

As the preeminent real estate professional in my community, I am dedicated to providing the finest service available while breaking new ground.

Because the real estate industry is becoming more sophisticated and challenging every day, you need a professional that understands the industry and is positioned to stay ahead of the game.

I go the extra mile to help you achieve your goals.

Call or email me today!

Thank You For Choosing Altera Real Estate!