Data and on Regional Real Estate Markets, Interest Rates,

1. Historic Home Prices When adjusted for inflation, American home prices increased by an average of about half a percentage point per year from 1890 through 2008, according to data compiled by Yale University Professor Robert Shiller. ( www.USNews.com/money - Luke Mullins, March 4, 2010)

2. Home Prices Now Now, however, as a result of many economic factors since 2008, the median American home prices have settled back to 2003 levels. Source: Case Schiller Non-Seasonally Adjusted Composite 20 U.S. Home Price Index as of March 2010

3. 1. Real Estate is Local Top Five Rules for Understanding the Real Estate Market: 2. Real Estate is Local 3. Real Estate is Local 4. Real Estate is Local 5. Real Estate is Local

4. Understand the Local Market That You are Buying into/ Selling out of…

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

6. Sample Market Absorption Rate 100 current active listings 4 reported sales in last 30 days = 25 Months’ absorption rate Anytown., NJ 5-6 Months Market Absorption Rate indicates a normal market.

7. Market Scale for Supply & Demand High Supply/Low Demand Low Supply/High Demand Normal Weichert has been studying market conditions for more than 3 decades and has found a direct correlation between market absorption and property values. As absorption rates increase beyond a normal market level of 5-6 months, property values depreciate annually. Market Absorption in Months 1 2 3 4 5 6 7 8 9 10 11 12 Normal

8. 6/21/10 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 55 1 55 9 5 11 20% 1 2 6 Pton -Boro Condo/ Thouses 19 0 99 3 1 7 36.8% 1 1 3 Pton-Boro Single Family 36 1 36 6 4 4 11.1% 0 1 3 Pton Twp: All Styles 142 11 12.9 23 4 24 16.9% 3 5 20 Pton Twp: Condo/ Thouses 11 2 5.5 3 1 2 18.2% 0 0 6 Pton Twp: Single Family 131 9 14.6 20 5 22 16.8% 3 5 14

9. 6/21/10 Towns Active Listings Pending in Last 30 Days Absorption Rate in Months New Listings in 30 Days Net Gain (Loss) to Market Li1stings Reduced in 30 Days % of Invent. Reduced Expired Listings W/drawn Listings Closed Listings West Windsor: All Styles 160 15 10.7 42 18 44 27.5% 4 5 33 West Windsor Condo/ T.Houses 26 3 8.7 6 1 14 53.8% 2 0 15 West Windsor 55+ 12 3 4 2 -1 - -- 0 0 2 West Windsor Single Family 122 9 13.6 34 18 30 24.5% 2 5 16 Lawrence: All Styles 254 13 19.5 52 24 50 19.7% 5 10 36 Lawrence: Condo/ THouses 72 6 12 17 6 21 29.2% 2 3 11 Lawrence: 55+ 27 0 99 5 4 - -- 0 1 3 Lawrence: Single Family 155 7 22.1 30 14 29 18.7% 3 6 22

10. 6/21/10 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 PlainsboroAll Styles 84 11 7.3 31 20 10 12% 6 1 19 Plainsboro Condo/ THouses 40 5 8 10 5 4 10% 5 0 11 Plainsboro 55+ 18 0 99 5 5 1 5% 0 0 0 Plainsboro Single Family 26 6 4.3 13 7 5 19% 1 1 8 Cranbury: All Styles 23 4 5.75 2 -2 6 26% 3 0 5 Cranbury: 55+ 1 2 .5 0 2 1 100% 0 0 0 Cranbury: Single Family 22 2 11 2 0 5 23% 3 0 5

11. 6/21/10 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 Ewing: All Styles 284 15 18.9 49 12 58 20.4 15 7 35 Ewing : Condo/ T.Houses 43 2 22.5 6 1 5 11.6 2 1 9 Ewing 55+: 9 0 99 2 2 - -- 0 0 0 Ewing: Single Family 232 13 17.8 41 9 53 22.8 13 6 26 East Windsor: All Styles 210 5 42 43 20 42 20% 9 9 19 East Windsor: Condo/ THouses 117 1 117 26 13 21 17.9% 8 4 6 East Windsor: 55+ 20 2 10 2 -2 - -- 0 2 0 East Windsor: Single Family 73 2 36.5 15 9 21 28.8% 1 3 13

12. 6/21/10 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 Hopewell Twp. All Styles 186 27 7 31 4 57 31% 11 8 24 Hopewell Twp. Condo/ T.Houses 18 5 3.6 3 (2) 5 28% 1 0 7 Hopewell Twp.: 55+ 9 3 3 - - - - - - - Hopewell Twp Single Family 159 19 8 28 9 52 33% 10 8 17 Hamilton: All Styles 638 51 13 120 69 170 27% 40 18 81 Hamilton: Condo/ THouses 110 15 7 24 9 32 29% 13 5 24 Hamilton: Single Family 483 35 14 96 61 138 29% 27 13 57 Hamilton: 55+ 45 1 45 - - - - - -

13. 6/21/10 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 Robbinsville All Styles 146 18 8 35 17 32 22% 4 9 19 Robbinsville Condo/ T.Houses 78 10 7.8 20 10 14 18% 2 4 14 Single Family 68 8 8.5 15 7 18 26% 2 5 5 Hightstown Boro: All Styles 79 6 13 13 7 14 18% 5 5 5 Pennington 27 2 13.5 2 0 10 37% 0 2 3 Hopewell Boro 24 1 24 5 4 5 21% 1 1 2

14. 6/21/10 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 South Brunswick All Styles 222 20 11.1 43 23 25 11% 17 4 30 South BrunswickCondo/ T.Houses 68 11 6.2 20 9 19 28% 7 1 13 South Brunswick 55+ 30 0 99 6 6 1 3% 1 2 0 South Brunswick Single Family 124 15 8.3 17 2 15 12% 9 1 17 Monroe: All Styles 479 50 9.6 116 66 114 24% 40 2 52 Monroe: 55+ 307 30 10.2 82 52 59 19% 23 0 38 Monroe: Single Family 172 20 8.6 34 14 55 32% 17 2 14

15. 6/21/10 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 Montgomery All Styles 158 17 9 37 (10) 48 30% 6 11 30 Montgomery Condo/Twnhms 24 2 12 7 (6) 5 21% 1 4 8 Single Family 134 15 9 30 (4) 43 32% 5 7 22 Hillsborough All Styles 248 23 11 55 13 39 16% 5 7 30 Hillsborough Condo/Twnhms 95 6 16 20 6 15 16% 0 3 11 Hillsborough Single Family 153 17 9 35 7 24 23% 5 4 19

16. Fed Drives Rates to Record Lows! Source: Weichert, Realtors Financial Services Over the past few weeks, interest rates have hit the lowest point since official tracking began in 1969—hitting 4.75% for 30-year fixed rate mortgages with no points, and 3.875% for 15-year fixed rate mortgages with 1 point.

17. What happens now? These historically low mortgage interest rates, lower home prices, and a good number of homes to choose from, combined with recovering labor markets should revive sales and housing starts once the recent dip owing to the expiration of the Federal homebuyer tax credit is behind us.

18. Strategies to Buy: Understand the complete financial picture—the mortgage-interest tax deduction, the real estate tax deduction, appreciating home value over time— when buying a home.