Santa Clara CountySanta Clara CountyMarket UpdateMarket Update

September 2010

Jul 2010 to Aug 2010

INVENTORY

CLOSEDSALES

MEDIAN SALE

3280 864 $630,000

1.0%

14.3%

1.2%

12.5%

Aug 2009 to Aug 2010

INVENTORY

CLOSEDSALES

MEDIAN SALE

3280 864 $630,000

11.7%41.4

%

Interest Rates

Interest rates on conforming, 30 year fixed mortgages are now only 4.25%.Interest rates are at or near the bottom of the past 40 years. Act quickly to lock in these incredibly low fixed rates!

Timing the Bottom?

The true cost of home ownership for buyers with mortgages is their monthly mortgage payment.

September 2010Purchase Price = $630,00020% Down = $126,000Mortgage = $504,00030-Year Rate = 4.25%Monthly Payment = $2,479

September 2011?Purchase Price = $567,00020% Down = $113,000Mortgage = $454,00030-Year Rate = 5.25%Monthly Payment = $2,5071% increase in interest rate offsets 10% decrease

in purchase price

Still Waiting to Move Up?

The value of your old home may have fallen, but the marginal cost of moving up may have fallen more.

September 2009Old House = $700,000Move Up = $1,000,000MU Margin = $300,00030-Year Rate = 5.25%Margin Payment = $1,657

As the market drops, the cost of moving up drops.

This is a great time to think about moving up!

September 2010Old House = $630,000Move Up = $900,000MU Margin = $270,00030-Year Rate = 4.75%Margin Payment = $1,408

Thirty Second Update

• Market conditions vary by area and price range• Inventory is up from a year ago, but flattening out • Closed sales have declined sharply since May 2010 • August 2010 median sale price was up 12.5% over

August 2009 as our market mix has stabilized • 30-year fixed rates are currently 4.25%• 36.5% of listings sold for more than asking price

More Talking Points

• Median sale price has been about $630,000 for the past four months with only minor fluctuations

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

• Normal listings account for about 70% of closings• Median initiated sale price is $545,000, which

means that more offers are being accepted, but ultimately falling through, in lower price ranges

About MePassion: My fuel to strive for excellence;

My motivation to produce results.

Noriel P. AdriculaDRE# 01124008Phone: 408.979.2816Cell/SMS: 415.601.7011Fax: 408.884.2397Email: NorielA@alterasv.netWeb: RealtybyNoriel.com

I listen more than I talk. This way, I can be more responsive and sensitive to my clients’ needs. With the wealth of knowledge that I gained over the last 19 years, I tackle my tasks with utmost dedication and attention to the smallest detail. Of equal importance is my being up to speed with the latest technical innovations especially in the field of communications, organization and customer service.On a personal note, I am always inspired by my music. As an accomplished pianist, vocalist and arranger, I have traveled to several countries to share these God-given talents. This helped me hone my people skills to enable me to communicate effectively, in any situation.Further, being an active music director in my local church not only keeps me rooted to my community but to my human side as well. With all these under my belt, I will make sure that I earn your trust and confidence and hereon build a lasting professional relationship.