The 3 Reasons the next 90 Days

are Crucial to your Career

Foot Traffic (indicator of future sales)

We’ll Crush 2014 Production

NEXT YEAR

Projected Total Home Sales (Existing & New Construction in millions)

HOME PRICES

Home Price Expectation

Survey

A nationwide panel of over one hundred

economists, real estate experts and investment & market strategists.

Home Price Expectation Survey 2014 4Q

Cumulative House Appreciation

by 201932.8% 32.8%

23.5%

15.1%

Bulls All Projections Bears

RISING MORTGAGE INTEREST RATES

Quarter Fannie Mae

Freddie Mac MBA NAR Average

of all four

2015 1Q 4.1% 4.2% 4.4% 4.4% 4.28%

2015 2Q 4.2% 4.5% 4.6% 4.7% 4.50%

2015 3Q 4.3% 4.7% 5.0% 5.1% 4.78%

2015 4Q 4.4% 5.0% 5.1% 5.4% 4.98%

Mortgage Rate Projections

11/2014

“While higher interest rates generally detract from housing activity, when they occur with strong job and income growth the net result can be increases in household formations, construction, and home sales.

Our view for 2015 is exactly that, namely, income and job growth offset the negative effect of higher interest rates and translate into gains for the nation’s housing market.”

- Freddie Mac

July1984

October1987

December1994

May 2000

May 1983 March 1987 October 1993 April 1999

Real Estate Value Change During Each Time Period

Dra

mat

ic M

ort

gag

e R

ate

Incr

ease

s

NEW 3% DOWN PROGRAMS

Over 3,000 shares

MILLENNIALBUYERS

Percentage of Income…

More or Less Affordable?

Buying a Home

Renting a Home

…in the third quarter than it was in the pre-bubble years (1985 -1999)

Percentage of Millennials that are 1st Time Home Buyers

Purchase Price Distribution of Homes Purchased

by Millennials

To establish own household

Top 5 Reasons for Millennial Buyers to Move

Needed larger unit

Want to Own

New job or job transfer

Live in a higher quality unit

Top 5 Reasons Millennial Buyers Choose a Home

Financial Reasons

Like the Size

Layout/Design

Like the Neighborhood

Construction Quality

Buyers’ Guide

EXPIRED LISTINGS

Re-Up their listings that are

about to Expire

List EVERY expired listing in January

eGuides AvailableeGuides Available

The percentage of homes selling as a FSBO has decreased from 19% to 9% in the last 20+ years

FSBOs as a Percentage of all Home Sales

$209K

$235K

By FSBO By AGENT

*The ‘typical’ price is actually the average price in the survey. However, studies have shown that people are more likely to FSBO in markets with lower price points.

Typical Sold Price* FSBO vs. Agent

Where Buyers Find the Home They Purchase Over the Last 10 Years

by percentage

Newspapers

Yard Signs

The Internet

% of Buyerswho used an Agent

NAR

Sellers’ Guide

Thursday, February 19th 2PM EST

Thursday, February 19th 2PM EST

Next Strategy Call Wednesday, March 11th

2PM EST

Next Strategy Call Wednesday, March 11th

2PM EST