A detailed presentation concerning the National real estate market by Keller Williams Realty and the local North Central Ohio real estate market by Paul W. Drury.

1. Commentary 2
Released:
The Numbers That Drive Real Estate
h b h i l 3
December 7, 2010
Recent Government Action 10
Topics for Home Buyers, Sellers, and Owners
Topics for Home Buyers Sellers and Owners 12
Brought to you by:
KW Research

2. Commentary
The housing market continues its uneven and gradual recovery without the aid of the tax
credit. Experts believe this will be the trend moving forward. Interest rates hit another
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record low but have started moving back up as the overall economy improves.
Despite a less‐than‐expected employment report, consumers seem to be feeling brighter
about the future. While the Consumer Confidence Index about the Present Situation
rose only slightly, the Expectation Index showed substantial improvement. As we enter
into the holiday gift‐buying season, consumers are expected to be out shopping and
buying more gifts for under the tree this year. Department stores with online presence
b i if f d h hi D i h li
did particularly well, with a 38% increase compared to last year according to industry
reports. Overall reports indicate a 13‐24% increase in retail sales from last year.
Consumer spending accounts for about half of all economic activity in the US; as long as
C di t f b t h lf f ll i ti it i th US l
consumers are spending and using debt responsibly, this is a positive indicator for
economic growth.
This march back up continues to provide excellent opportunities: an ample selection of
homes, affordable prices, and historically low interest rates. Experts anticipate both the
economy and the housing market will continue on a path to a complete recovery.
economy and the housing market will continue on a path to a complete recovery
Sources: Bloomberg.com, nytimes.com, wsj.com KW Research 2

3. Home Sales 4
The Numbers That Home Price 5
Inventory 6
Drive Real Estate Mortgage Rates 8
Affordability 9
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KW Research

4. Home Sales
In Millions
In Millions
Home sales dropped slightly in October, compared with the previous month, despite a temporary
moratorium on foreclosures, which have recently represented more than one third of sales activity.
Sales were up 15% from July when the tax credit expiration caused a drop‐off in sales. The most
Sales were up 15% from July when the tax credit expiration caused a drop off in sales The most
significant indicator of a market rebound, however, appears to be the October pending sales report. A
10.4% increase in pending sales, which measures homes under contract, signals stronger home sales
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activity in the coming months as the homes under contract close.
First‐Time Home Extended and Expanded Home Buyer Tax Credit Tax
Buyer Tax Credit Gradual Recovery
Renewed November 7 Credit Is Without Tax Credit
Scheduled to Must have contract signed by April 30 Expired
expire
expire Must close by June 30
M l b J 30
November 30
October ’08‐’09
O b ’08 ’09
Latest Data Release: November 23, 2010
Source: National Association of Realtors
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5. Home Price
In Thousands
In Thousands
Home prices have shown considerable stability when compared with the previous several years.
October s median home price declined slightly, down less than 1% from the previous month and
October’s median home price declined slightly down less than 1% from the previous month and
year. A recent study shows an increased interest in smaller homes. Smaller homes often mean
smaller price tags, depending on location. While the market currently provides many opportunities
for buyers, sellers look forward to the general trending upward of home price as the market’s
stability without government support grows deeper roots.
Latest Data Release: November 23, 2010
Source: National Association of Realtors, relocation.com
KW Research 5

6. Inventory ‐ Number of homes available for sale
In Millions
In Millions
There are fewer homes on the market. Total inventory fell to 3.86 million in October from
4 million in September. As lending standards continue to loosen and return to historical norms,
4 million in September As lending standards continue to loosen and return to historical norms
more people will be able to buy their first home, move up, or invest and take advantage of the
abundant opportunities in the current market – including historically low interest rates, highly
affordable prices, and an ample but shrinking selection of homes.
Latest Data Release: November 23, 2010
Source: National Association of Realtors
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7. Supply of Inventory
In Months
In Months
Month’s supply of inventory measures how many months it will take to sell all the homes that are
for sale, if no new homes come on the market and buyers continue to buy at the same pace or
for sale if no new homes come on the market and buyers continue to buy at the same pace or
rate. The month’s supply of homes on the market fell to 10.5 months. While still at a relatively
high level, months of inventory has shrunken substantially since July’s 12.5 months.
Latest Data Release: November 23, 2010
Source: National Association of Realtors
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8. Mortgage Rates
30 Year Fixed
30‐Year Fixed
Mortgage rates hit another record low of 4.17% on November 11 after which they rose to close to
4.4% for the remainder of the month. Historically low rates have contributed to real savings for
4.4% for the remainder of the month. Historically low rates have contributed to real savings for
buyers who will continue to realize those savings for as long as they own the home. As overall
economic recovery gains traction, rates must rise to keep inflation in check. Industry economist
Lawrence Yun anticipate srates to be between 5.4% and 6% by the end of 2011.
30‐Year Average – 8.90%
1‐Year Average – 4.71%
Source: Freddie Mac KW Research 8

9. The percentage of a median family’s income required
Affordability ‐ to make mortgage payments on a median‐priced home
Percentage of Income
Percentage of Income
Housing is at record affordability levels. Prospective home buyers stand to benefit from the lowest
mortgage rates in decades, as well as advantageous home prices. The home price‐to‐income ratio
continues to remain well below the historical standard. Stabilizing home prices and rising interest rates
are anticipated to begin drawing affordability back up toward more normal levels.
Historical Standard: 25%
Affordability as of October every year. Calculations assume a 20% down payment.
KW Research 9
Source: National Association of Realtors

10. Recent Conforming Loan Limits Extended
Conforming Loan Limits Extended 11
Government Action
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11. Conforming Loan Limits Extended
In Most Expensive Markets
In Most Expensive Markets
Qualifying for a mortgage is often dependent on whether or not that mortgage will
be backed by a government sponsored entity (GSE), such as Fannie Mae and Freddie
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Mac. Fannie, Freddie, and the Federal Housing Administration (FHA) account for
more than 90% of the mortgage market. There are limits to the size of a mortgage
that GSEs will back. Generally, the limit is $417,000 to $729,750 in high priced
th t GSE ill b k G ll th li it i $417 000 t $729 750 i hi h i d
markets.
In July 2008, the housing recovery bill raised the limit in high cost areas to a
In July 2008 the housing recovery bill raised the limit in high cost areas to a
maximum of $729,750 from $417,000 everywhere. These limits were set to expire at
the end of the year and have now been extended through September of 2011.
Banks have already begun increasing loans above the limits, also known as jumbo
loans. The extension of conforming loan limits will provide more time for banks to
beef up their jumbo lending and give the housing market time to strengthen,
supporting a smoother transition to less government support.
Sources: Rutgers, HousingWire.com, wsj.com, National Association of Realtors KW Research 11

12. Topics for Home Buyers,
p y , Prime Time yo Buy 12
Sellers, and Owners
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13. Prime Time to Buy
Homes Have Never Been More Affordable
Homes Have Never Been More Affordable
For most individual home buyers, there are only a few factors that really matter:
• Can I afford this home?
• Is it a good investment?
• Does it meet my family’s needs?
So it’s a bit surprising that the most important housing statistic has gone largely unreported: homes
have never been more affordable. Affordability, measured by the median mortgage payment on the
current median‐priced home ($171,000) as a percentage of the median household income ($62,141), is
lower than it’s been in a generation. The chart below shows affordability at a record level, having
significantly improved since the height of the recent housing boom in 2006.
significantly improved since the height of the recent housing boom in 2006.
At 14.4% of median
income, affordability is
at an all time
advantageous level!
For more reasons why now is the prime time to buy, check out: 7 Reasons Why Now Is a Great Time to Buy a Home!
Sources: National Association of Realtors, Keller Williams Realty 7 Reasons Why Now Is a Great Time to Buy a Home! KW Research 13

14. Your Local Market
Although it is important to stay informed about what is going on in the national
Alth h it i i t tt t i f d b t h ti i i th ti l
economy and housing market, many different factors impact the real estate
market in your own area.
Talk to your KW associate for assistance interpreting the
Talk to your KW associate for assistance interpreting the
conditions in your local market as described in the following
charts and graphs.
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KW associates are equipped with the knowledge and information to help you
KW associates are equipped with the knowledge and information to help you
navigate through the home‐buying or selling process in this challenging market.
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15. Local Market Absorption Rate
Local Market Absorption Rate
KW Research 15

16. Number of Homes in play
Number of Homes “in play”
KW Research 16

17. Avg Price per sq ft
Avg Price per sq ft
KW Research 17

18. Sold to List Price Comparison
Sold to List Price Comparison
KW Research 18

19. Avg Price For Sale VS Sold
Avg Price For Sale VS Sold
KW Research 19

20. About Keller Williams Realty
Founded in 1983, Keller Williams Realty, Inc. is an international real estate
company with more than 80,000 associates and 686 offices across the United
company with more than 80 000 associates and 686 offices across the United
States and Canada. The company began franchising in 1991 and, after years of
phenomenal growth and success, became the third‐largest U.S. residential real
estate firm in 2009.
estate firm in 2009
The company has succeeded by treating its associates as partners and sharing
its knowledge, policy control, and company profits on a systemwide basis.
By focusing on helping associates realize their fullest potential, Keller Williams
Realty is known as an industry leader in its family culture, unmatched
education, profit sharing business model, phenomenal coaching program, and
education profit‐sharing business model phenomenal coaching program and
technology offerings.
www.kw.com
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21. About Paul W. Drury
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• Originally licensed as an agent in Ohio in 1986, Paul began with
Lehman Johnson Real Estate in Elyria. He acquired his Real Estate
Lehman Johnson Real Estate in Elyria He acquired his Real Estate
Brokerage License in 1992 and became an Associate broker with West
Shore Realty. In 1995 he moved his brokerage license to Continental
Realty Investment where he began to focus on additional work with
Realty Investment where he began to focus on additional work with
commercial and investment real estate. During these years he also
performed professional appraisals with The Appraisal House.
• In 2001 he began Drury Realty Consulting and worked as an
independent Real Estate Consultant and worked on his own until 2009
when he joined Keller Williams Realty, Greater Cleveland West. Being
when he joined Keller Williams Realty Greater Cleveland West “Being
a part of the Keller family provides me with tools and serves
unachievable strictly on my own, provides me with the tools and
networking of a huge national network, while still enabling me to work,
networking of a huge national network while still enabling me to work
act, and function as the manager of my own business. It’s the best of
both worlds.” – Paul
• Paul's Home Page
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22. What we have to offer sellers
• Sellers now have access to tools unimaginable just a few
years earlier. Keller Williams Realty doesn t spend valuable
years earlier Keller Williams Realty doesn’t spend valuable
resources promoting its own name. Instead it puts
resources into the best tools and resources for education
and training, providing the highest quality real estate
professionals into local communities.
• Properties put up for sale by Paul are also listed in KWLS a
Properties put up for sale by Paul are also listed in KWLS, a
national MLS, implemented by Keller Williams, now the
2nd largest company in the US; local MLS; NEOHREX
(Northern Ohio Real Estate Exchange); and on national
sites such as Trulia, Zillow, CyberHomes, and others.
• Free Real Estate Informational Webinars available by
Free Real Estate Informational Webinars available by
logging onto this link… http://budurl.com/druryvideos
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23. What we have to offer sellers ( Cont’d)
• Other tools brought to bear by Paul include branding using
unique web addresses with a virtual tour that can be
i b dd ith i t l t th t b
emailed or the link can posted anywhere, to include Craig’s
List and Back Page. Recent homes sold.
List and Back Page Recent homes sold
– 37101 Hunter’s Trail in Avon – http://37101hunterstrail.com
– 2815 West River Road South in Elyria – http://2815WRiverRdS.com
• Not Planning to sell in the near future?
– Would you still like to monitor what is happening in your
neighborhood or area?
– Contact Paul now for a free periodic market update No cost No
Contact Paul now for a free periodic market update. No cost. No
obligation.
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24. Properties currently for sale
ope t es cu e t y o sa e
• Properties currently for sale:
– 3307 Sandy Lane in Avon – http://3307SandyLn.com
330 S d A
– 19593 Whitehead Road in Wellington ‐ http://19593whiteheadrd.com/
– 13951 Diagonal Road in Lagrange – http://13951DiagonalRd.com
– 1 Grover Court in Grafton – http://1groverct.com
– 416 Winckles Street in Elyria – http://416wincklesst.com
– 149 Woodview Drive in Elyria – http://149woodviewdr.com
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• Would you like to see one of these homes? Click on the link
for a visual tour.
• Would you like your home or property promoted like
Would you like your home or property promoted like
these?
– Contact Paul for a free, no obligation, consultation today
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at 440‐385‐5650.
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25. What we have to offer buyers
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• Buyers of Real Estate also have access to tools
unimaginable just a few years before. Since Keller Williams
i i bl j t f b f Si K ll Willi
doesn’t spend its money promoting its own name, it puts
its resources into providing the best tools and resources to
its resources into providing the best tools and resources to
its systems, education, and training, thus providing the
most professional real estate team members back into the
communities.
• Free Real Estate Informational Webinars available by
logging onto this link… http://budurl.com/druryvideos
• If you wish to conduct your own Multiple Listing Home
Searches, you may do so using this link….
http://bit.ly/aDE5XP
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26. What we have to offer buyers (Cont’d)
• Buyers can access Paul’s website at www.druryrealty.com
and conduct their own searches as well as create their own
d d h i h ll h i
search profiles for searching for properties anywhere in
Ohio. If relocating out of Ohio, Keller Williams offers one of
Ohio If relocating out of Ohio Keller Williams offers one of
the finest relocation referral networks in the nation.
Greater Cleveland West now sells more properties than any
other office in the entire regional MLS.
• Paul’s website is easy to manage and he can set up search
Paul s website is easy to manage and he can set up search
profiles for you so you get notified at about 8:30 am of any
new properties that come available. He also has profiles set
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up on national websites such as Trulia providing for
greater access to search tools. http://bit.ly/aDE5XP
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27. Investors & Shoppers – Foreclosure Watch
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• Are you shopping for the deal of a century for your
new home?
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• Are you in the market to buy a home at a steep
discount and try and fix it up and “flip it”?
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• Are you looking for a home for someone else?
• Want to know what is happening in your marketplace?
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• Send Paul an email today and request free market
updates at paul@druryrealty.com
• Call Paul directly at 440‐385‐5650.
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• No cost. No commitments. No obligations. No fuss. No
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kidding.
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28. Follow Paul’s Real Estate updates online…
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Home Web Page On Twitter
• www.druryrealty.com • ‐ www.twitter.com/PaulWDrury
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On Zillow
o On FaceBook
On FaceBook
• www.zillow.com/profile/PaulWDrury • ‐ www.facebook.com/paul.w.drury
On Trulia
On Trulia On LinkedIn
On LinkedIn
• www.trulia.com/profile/paulwdrury • www.linkedin.com/in/paulwdrury
On the Real Estate Global
O h R lE Gl b l Free Real Estate
Free Real Estate
Network Webinars
• www.realestateglobalnetwork.com/profile/PaulWDru
ry • http://budurl.com/druryvideos
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29. Paul’s special vendor deals of the month…
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Paul s Vendor s Deal s Page
Paul’s Vendor’s Deal’s Page
• http://bit.ly/ffvZOr
• Featuring deals from the following vendors
• GoDaddy Domain Sale • Franklin Covey Supplies
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• ESET Internet Security • Intuit Quickbooks
Software • Executive Book
• E‐fax Electronic Fax Summaries
Service • Build my Move Moving
Build my Move Moving
• DocuSign Electronic Services
Document Service • eBatts discount battery
• LifeLock Identity i
services
Protection Service • Bulb America Light Bulb
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Supplier
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30. The opinions expressed in This Month in Real Estate are intended to supplement opinions on real estate expressed by local and
national media, local real estate agents and other expert sources. You should not treat any opinion expressed on This Month in
Real Estate as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of
opinion. Keller Williams Realty, Inc. does not guarantee and is not responsible for the accuracy or completeness of information, and
provides said information without warranties of any kind. All information presented herein is intended and should be used for
educational purposes only. Nothing herein should be construed as investment advice. You should always conduct your own
research and due diligence and obtain professional advice before making any investment decision. All investments involve some
degree of risk. Keller Williams Realty, Inc., will not be liable for any loss or damage caused by your reliance on information
degree of risk. Keller Williams Realty, Inc., will not be liable for any loss or damage caused by your reliance on information
contained in This Month in Real Estate.
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