The document provides an analysis of the residential real estate market trends in Princeton Borough, NJ from a local real estate brokerage. It finds that: 1) Inventory levels are down nearly 30% from the same time in 2006, indicating a slowing but not declining market. 2) Single family homes are selling better than condos/townhouses due to higher prices and tighter financing standards for smaller condo buildings. 3) Absorption rates are highest for properties priced between $500K-$1M, showing most activity in the moderate price ranges. Over 28% of listings saw price reductions recently as buyers took advantage of deals.

1. Weichert, Princeton Office Offers analysis of the Princeton Borough, NJ Market Trends.

2. Prepared by: Joshua D Wilton Broker/ Sales Associate Weichert, Princeton Office: 609-921-1900 [email_address]

6. Princeton Boro. Active Inventory

7. Princeton Boro. Condo/Townhouses Active Inventory

8. Princeton Boro. Single Family Active Inventory

10. Town by Town Analysis 7/127/09 Towns Active Listings Pending Sales in Last 30 Days Absorption Rate in Months New Listings in 30 Days Net Gain (Loss) to Market Listings Reduced in 30 Days % of Invent. Reduced Expired Listings W/drawn Listings Closed Listings Princeton Boro: All Styles 46 6 7.7 6 0 13 28% 3 2 5 Pton -Boro Condo/ Thouses 13 1 13 2 1 5 38% 0 1 0 Pton-Boro Single Family 33 5 6.6 4 (1) 8 24% 3 1 5

12. Market Absorption Scale (Absorption Rate in Months) 5-6 months absorption rate indicates a normal market.

13. Town by Town Analysis 7/127/09 Towns Active Listings Pending in Last 30 Days Absorption Rate in Months New Listings in 30 Days Net Gain (Loss) to Market Listings Reduced in 30 Days % of Invent. Reduced Expired Listings W/drawn Listings Closed Listings Princeton Boro: All Styles 46 6 7.7 6 0 13 28% 3 2 5 Pton -Boro Condo/ Thouses 13 1 13 2 1 5 38% 0 1 0 Pton-Boro Single Family 33 5 6.6 4 (1) 8 24% 3 1 5

14. Princeton Borough Absorption Rate By Price Active Listings Pending in Last 30 Days Absorption Rate in Months 0-$500 8 1 8 $500-750k 8 3 2.6 $750-999 7 2 3.5 $999-$1.5 million 11 0 99 $1.5 million + 13 1 13

16. Princeton Twp. Condo/Townhouses Absorption Rate

17. Princeton Twp. Single Family Absorption Rate

19. Town by Town Analysis 7/127/09 Towns Active Listings Pending in Last 30 Days Absorption Rate in Months New Listings in 30 Days Net Gain (Loss) to Market Listings Reduced in 30 Days % of Invent. Reduced Expired Listings W/drawn Listings Closed Listings Princeton Boro: All Styles 46 6 7.7 6 0 13 28% 3 2 5 Pton -Boro Condo/ Thouses 13 1 13 2 1 5 38% 0 1 0 Pton-Boro Single Family 33 5 6.6 4 (1) 8 24% 3 1 5

20. Princeton Boro. Active YTD Listings v Pending Analysis

22. Source: trend mls Relationship of Price Reductions to ‘Pending Sales’

23. Princeton Borough Market Statistics Source: Trend MLS

24. Princeton Twp. Residential Transactions Settled: June 2009 Source: Trend MLS