The document summarizes recent data and trends in the US housing market. It discusses signs of recovery including rising existing home sales in April due to factors like the homebuyer tax credit and improved consumer confidence. While job growth remains stagnant and foreclosures are still high, the government is taking steps to reform the mortgage industry in hopes of further stabilizing the market.

1. Released: June 7, 2010 Commentary 2 The Numbers That Drive Real Estate 3 Recent Government Action 9 Topics for Home Buyers, Sellers, and Owners 11

3. The Numbers That Drive Real Estate Home Sales 4 Home Price 5 Inventory 6 Mortgage Rates 7 Affordability 8

4. Latest Data Release: May 24, 2010 Source: National Association of Realtors Home Sales In Millions Existing home sales strengthened in April to 5.77 million, up 8.7% from March and 22.8%from last April. This is the tenth consecutive month of year-over-year increases. According to Lawrence Yun, NAR chief economist, although part of the uptick was expected from the tax credit, there’s also been a return of buyer confidence, for those who remained on the sideline last year. The return of confidence is a result of stabilized prices, an improved economy, and continued advantageous interest rates. In March, 49% of sales were from first-time buyers. April 08-09 April 09-10 Impact of Tax Credit Deadline Seasonally Adjusted Home Sales - In Millions

9. Recent Government Action FHA Turns to Lenders to Monitor Brokers 10

11. Topics for Home Buyers, Sellers, and Owners Myths about Distressed Properties – Debunked! 12

13. Your Local Market Although it is important to stay informed about what is going on in the national 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 conditions in your local market . KW associates are equipped with the knowledge and information to help you navigate through the home-buying or selling process in this challenging market.