NIEGHBORHOOD - MARKET CONDITIONS COMMENTS
The following "Neighborhood Market Analysis” is the result of analysis of 2,298 sales, pending sales, and active listings over the prior 10 years of one-unit housing data from the local MLS, public records, and office data in the subject neighborhood. Analysis of the data supports the neighborhood market conditions described on the main appraisal form herein of declining values, an over supply of housing currently on the market, a decreased demand from previous years, and a median marketing time of 2-6 months. The median price of homes sold for the prior 360 days is between $665,000 and $485,000; a decline from 12 months prior with the median price showing an increase over the prior 90 days. The number of sales for the neighborhood per 90 day period over prior 360 days has been between 20 and 29. The currently inventory represents an approximate 15 month supply at the current absorption rate; supporting the conclusion of an over supply of housing currently on the market. The inventory remains the same for each column because that is the CURRENT number of listings and pending sales on the market. While the number of sales per 90 day period has somewhat stabilized over the prior 360 days, the price paid per square foot has continued to decline.

Subject Market Area: Neighborhood Sales

Subject Market Area: Neighborhood Sales Price(s)

Analysis of the following chart shows that buyers where paying an increasing average price per square foot for homes in the subject neighborhood through mid-2005. Since that time the average price per square has declined to approximately $215.

Analysis of the following chart shows that as the volume of home sales in the neighborhood has declined the sales price to listing price ratio has also declined. The decline in the ratio indicates that sellers have had to accept less money than their asking price to sell their home.

COMPARABLES MARKET ANALYSIS
The following "Subject Comparables Market Analysis” is the result of analysis of 613 comparable sales, active listings, and pending sales over the prior 10 years of one-unit housing data from the local MLS, public records, and office data in the subject neighborhood. The criteria for comparables includes homes within approximately 3 miles of the subject with a square footage size between 1,000 and 1,800 that may include or exclude some geographic areas not to be considered comparable per the appraiser’s knowledge of the market area. Analysis of the comparable sales data is somewhat consistent with the neighborhood market conditions described herein. The market for comparable properties is described as declining values, an in balance supply/demand of inventory, a decreased demand from previous years, and a median marketing time of 2-6 months. The median price of comparables homes sold for the prior 360 days is between $350,000 and $430;500 a decline from 12 months prior with the median price showing an increase over the prior 90 days. The number of comparable sales per 90 day period over prior 360 days has been between 4 and 9. The currently inventory represents an approximate 7 month supply at the current absorption rate; supporting the conclusion of an in balance supply/demand of housing currently on the market. The inventory remains the same for each column because that is the CURRENT number of listings and pending sales on the market. While the number of sales per 90 day period over the prior 360 days has trended upward the price per square foot paid continues to show declines. This can be attributed to the predominance of lender influenced sales of comparable properties.

Subject Market Area: Comparable Sales

Subject Market Area: Comparable Sales Price(s)

Analysis of the following chart shows that buyers where paying an increasing average price per square foot for comparable homes in the subject neighborhood through mid-2005. Since then the average price per square has declined to approximately $230.

Analysis of the following chart shows that as the volume of comparable home sales in the neighborhood has declined over the recent years the sales price to listing price has also declined. The decline in the ratio indicates that sellers have had to accept less money than their asking price to sell their home.