Oc housing news by Riya Rahman

Southern California Housing Report Table of Contents 2 ..… Meet the Everyday Luxury Real Estate Group at Evergreen Realty 3 ..… Los Angeles County Housing Market Overview 4 ..… Los Angeles County Median Home Price and Rents 5 ..… Los Angeles County Resale and rental $/SF Year-over-Year Percentage Change 6 ..… Los Angeles County Historic Valuation and Market Timing Rating 7 ..… Los Angeles County Investor Returns 8 ..… East Los Angeles Market Performance and Trends: Ventura County, Major Cities, and Zips 11 ..… East Los Angeles Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips 14 ..… West Los Angeles Market Performance and Trends: Ventura County, Major Cities, and Zips 18 ..… West Los Angeles Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips 22 ..… Orange County Housing Market Overview 23 ..… Orange County Median Home Price and Rents 24 ..… Orange County Resale and rental $/SF Year-over-Year Percentage Change 25 ..… Orange County Historic Valuation and Market Timing Rating 26 ..… Orange County Investor Returns 27 ..… Orange County Market Performance and Trends: Ventura County, Major Cities, and Zips 29 ..… Orange County Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips 31 ..… Riverside County Housing Market Overview 32 ..… Riverside County Median Home Price and Rents 33 ..… Riverside County Resale and rental $/SF Year-over-Year Percentage Change 34 ..… Riverside County Historic Valuation and Market Timing Rating 35 ..… Riverside County Investor Returns 36 ..… Riverside County Market Performance and Trends: Ventura County, Major Cities, and Zips 38 ..… Riverside County Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips 40 ..… San Bernardino County Housing Market Overview 41 ..… San Bernardino County Median Home Price and Rents 42 ..… San Bernardino County Resale and rental $/SF Year-over-Year Percentage Change 43 ..… San Bernardino County Historic Valuation and Market Timing Rating 44 ..… San Bernardino County Investor Returns 45 ..… San Bernardino County Market Performance and Trends: Ventura County, Major Cities, and Zips 47 ..… San Bernardino County Market Timing Rating and Values: Ventura County, Major Cities, and Zips 49 ..… Ventura County Housing Market Overview 50 ..… Ventura County Median Home Price and Rents 51 ..… Ventura County Resale and rental $/SF Year-over-Year Percentage Change 52 ..… Ventura County Historic Valuation and Market Timing Rating 53 ..… Ventura County Investor Returns 54 ..… Ventura County Market Performance and Trends: Ventura County, Major Cities, and Zips 55 ..… Ventura County Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips OC Housing News info@ochousingnews.com

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Los Angeles County Housing Market News Historically, properties in this market sell at a 9.5% discount. Today's discount is 14.2%. This market is 4.7% undervalued. Median home price is $507,300 with a rental parity value of $589,300. This market's discount is $82,000. Monthly payment affordability has been improving over the last 3 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $407/SF to $409/SF. Resale prices have been rising for 10 month(s). Over the last 12 months, resale prices rose 5.4% indicating a longer term upward price trend. Median rental rates increased $8 last month from $2,633 to $2,641. The current capitalization rate (rent/price) is 5.0%. Rents have been rising for 12 month(s). Price momentum signals rising rents over the next three months. Market rating = 7

Median Home Price and Rental Parity trailing twelve months Rating 7 7 8 8 7 7 8 8 8 7 7 7

Median Rental Parity Historic Value $800,000 $ 469,300 $ 569,000 $ 514,855 $ 467,600 $ 570,000 $ 515,759 $600,000 $ 470,100 $ 567,700 $ 513,678 $ 475,100 $ 578,200 $ 523,179 $400,000 $ 484,300 $ 571,900 $ 517,479 $ 492,600 $ 566,200 $ 512,321 $200,000 $ 501,000 $ 567,000 $ 513,045 $ 505,100 $ 581,300 $ 525,984 $ 508,100 $ 588,300 $ 532,318 $- $ 508,000 $ 599,000 $ 542,000 $ 508,800 $ 588,900 $ 532,861 $ 507,300 $ 589,300 $ 533,223

Median

Rental Parity

Historic Value

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Resale $/SF and year-over-year percentage change trailing twelve months Âą Typ. Value -6.2% -7.5% -8.0% -8.1% -7.3% -5.9% -3.8% -3.1% -3.3% -4.5% -4.6% -4.7%

$/SF $ 388 $ 382 $ 383 $ 387 $ 391 $ 395 $ 398 $ 400 $ 403 $ 406 $ 407 $ 409

% Change 8.7% 7.1% 7.1% 7.6% 7.6% 7.6% 6.6% 4.8% 4.4% 4.8% 4.9% 5.4%

$415 $409 $406 $407 $410 $403 $400 $405 $398 $400 $395 $391 $395 $388 $387 $390 $383 $382 $385 $380 $375 $370 1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

-0.0951588

OC Housing News info@ochousingnews.com

,64

,63

,61

,59

,56

,54

,52

,50

,48

,47

Own Historic Cost to Own Relative to Rent $2,800 $ 2,087 $ 2,239 $ 2,054 $ 2,242 $2,600 $ 2,044 $ 2,250 $2,400 $ 2,049 $ 2,264 $ 2,085 $ 2,286 $2,200 $ 2,136 $ 2,302 $ 2,208 $ 2,325 $2,000 $ 2,245 $ 2,344 Rent Own $1,800 $ 2,260 $ 2,366 $ 2,247 $ 2,383 $ 2,255 $ 2,383 $ 2,261 $ 2,390 ,47

Rent $ 2,474 $ 2,478 $ 2,487 $ 2,502 $ 2,527 $ 2,544 $ 2,569 $ 2,590 $ 2,615 $ 2,633 $ 2,633 $ 2,642

% Change 5.3% 5.5% 6.0% 6.2% 6.7% 6.8% 6.9% 6.9% 6.9% 7.0% 7.2% 7.4%

Historic Cost to Own Relagve to Rent

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Rental rate and year-over-year percentage change trailing twelve months

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1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 1/ 15 20 1/ 16 20 17 1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 1/ 15 20 1/ 16 20 17

Los Angeles County median home price since January 1988

$700,000

OC Housing News info@ochousingnews.com

Median Resale

Median Rent

Rental Parity

Cost to Own

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Historic Value Projecgon

$600,000

$500,000

$400,000

$300,000

$200,000

$100,000

Los Angeles County median rent and monthly cost of ownership since January 1988

$3,500 Historic Cost to Own Relagve to Rent

$3,000

$2,500

$2,000

$1,500

$1,000

$500

Shevy Akason 877-409-8515

Resale $/SF Year-over-Year Percentage Change: Los Angeles County since January 1989 Appreciagon rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

Normal and sustainable

Falling/Correcgng

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% -35% -40% -45% -50%

Rental $/SF Year-over-Year Percentage Change: Los Angeles County since January 1989 18% 16%

Rental rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

14% 12% 10% 8%

Normal and sustainable

6% 4% 2%

Weak

0% -2%

Falling/Correcgng

-4% -6%

-8%

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Historic Median Home Price Relative to Rental Parity: Los Angeles County since January 1988 91.0% 84.0% 77.0% 70.0% 63.0% 56.0% 49.0% 42.0% 35.0% 28.0% 21.0% 14.0% 7.0% 0.0% -7.0% -14.0% -21.0% -28.0% -35.0% -42.0% -49.0%

Historic Norm

Stable period between housing bubbles from 1993-1999 establishes historic norm.

Discount or Premium

Value Relagve to Rental Parity

OCHN Market Timing System Rating: Los Angeles County since January 1988 10 9 8

Values 7-10: Undervalued Market: Strong Buy Recommendagon

7 6 5

Values 4-6: Neutral Market, Weak Buy Recommendagon

4 3

Values 1-3: InďŹ&#x201A;ated or Weak Market: Consider Selling. Do not Buy.

2 1

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Cash Investor Capitalization Rate: Los Angeles County since January 1988 Capitalizagon Rate

OC Housing News info@ochousingnews.com Mortgage Interest Rate

12.0%

10.0%

8.0%

6.0%

4.0%

2.0%

0.0%

Financed Investor Cash-on-Cash Return: Los Angeles County since January 1988

25.0%

20.0%

15.0%

10.0%

5.0%

0.0%

-5.0%

-10.0%

-15.0%

-20.0%

-25.0%

-30.0%

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Market Performance and Trends: East Los Angeles County, Major Cities, and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Alhambra

$ 533,600

3.7%

$ 392

10.8%

$ 2,098

$ 2,372

$ 274

3.8%

Arcadia

$ 941,700

-14.5%

$ 507

4.3%

$ 2,803

$ 4,204

$ 1,401

2.9%

Artesia

$ 392,400

15.3%

$ 377

0.6%

$ 1,717

$ 1,757

$ 40

4.2%

Azusa

$ 372,700

1.7%

$ 286

3.0%

$ 1,887

$ 1,644

$ (243)

4.9%

Baldwin Park

$ 347,500

8.5%

$ 300

10.3%

$ 1,746

$ 1,553

$ (193)

4.8%

Bellflower

$ 420,500

14.5%

$ 326

3.9%

$ 1,925

$ 1,840

$ (85)

4.4%

Canyon Country

$ 419,800

10.1%

$ 255

7.9%

$ 2,174

$ 1,863

$ (311)

5.0%

Cerritos

$ 629,800

8.1%

$ 375

5.9%

$ 2,564

$ 2,799

$ 235

3.9%

Claremont

$ 579,100

0.7%

$ 307

4.4%

$ 2,225

$ 2,595

$ 370

3.7%

Covina

$ 430,100

8.2%

$ 302

8.8%

$ 2,001

$ 1,906

$ (95)

4.5%

Diamond Bar

$ 533,400

3.2%

$ 336

4.2%

$ 2,403

$ 2,378

$ (24)

4.3%

Downey

$ 472,500

14.3%

$ 347

12.0%

$ 1,921

$ 2,117

$ 196

3.9%

Duarte

$ 413,900

9.6%

$ 343

9.0%

$ 1,994

$ 1,802

$ (192)

4.6%

El Monte

$ 412,400

2.6%

$ 304

17.0%

$ 1,811

$ 1,842

$ 31

4.2%

Glendora

$ 528,100

5.0%

$ 341

5.6%

$ 2,275

$ 2,341

$ 66

4.1%

Hacienda Heights

$ 545,000

2.7%

$ 312

1.4%

$ 2,272

$ 2,417

$ 145

4.0%

La Mirada

$ 488,500

4.8%

$ 328

4.5%

$ 2,442

$ 2,163

$ (279)

4.8%

La Puente

$ 380,100

9.9%

$ 307

5.8%

$ 1,933

$ 1,681

$ (252)

4.9%

La Verne

$ 561,900

6.7%

$ 327

3.1%

$ 2,326

$ 2,565

$ 239

4.0%

Lakewood

$ 491,300

8.4%

$ 379

4.6%

$ 2,249

$ 2,177

$ (72)

4.4%

Lancaster

$ 208,200

11.0%

$ 122

0.0%

$ 1,474

$ 909

$ (565)

6.8%

Monrovia

$ 548,000

1.1%

$ 399

5.8%

$ 2,306

$ 2,451

$ 146

4.0%

Monterey Park

$ 539,800

4.0%

$ 368

5.3%

$ 2,257

$ 2,356

$ 98

4.0%

Newhall

$ 354,300

7.4%

$ 254

8.6%

$ 1,683

$ 1,591

$ (91)

4.6%

Norwalk

$ 391,500

14.1%

$ 343

4.5%

$ 1,965

$ 1,741

$ (224)

4.8%

Palmdale

$ 249,700

14.8%

$ 140

8.7%

$ 1,535

$ 1,100

$ (435)

5.9%

Pasadena

$ 668,700

-0.7%

$ 484

3.4%

$ 2,389

$ 2,968

$ 579

3.4%

Pomona

$ 327,200

7.6%

$ 250

3.4%

$ 1,644

$ 1,452

$ (192)

4.8%

Rowland Heights

$ 565,100

4.3%

$ 342

2.5%

$ 2,259

$ 2,522

$ 263

3.8%

San Dimas

$ 500,200

7.4%

$ 318

6.6%

$ 2,000

$ 2,175

$ 175

3.8%

San Gabriel

$ 660,200

-2.1%

$ 419

0.0%

$ 2,322

$ 2,939

$ 616

3.4%

San Marino

$ 2,223,800

-12.0%

$ 820

1.9%

$ 3,572

$ 9,915

$ 6,342

1.5%

Sierra Madre

$ 836,400

3.8%

$ 489

-6.5%

$ 2,364

$ 3,718

$ 1,354

2.7%

South Pasadena

$ 1,045,700

-2.5%

$ 553

5.2%

$ 2,607

$ 4,614

$ 2,007

2.4%

Stevenson Ranch

$ 623,000

2.5%

$ 265

-5.8%

$ 2,326

$ 2,746

$ 419

3.6%

Sunland

$ 441,900

13.1%

$ 342

32.1%

$ 1,965

$ 1,988

$ 22

4.3%

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Market Performance and Trends: East Los Angeles County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Temple City

$ 653,700

-3.4%

$ 430

6.4%

$ 2,139

$ 2,950

$ 811

3.1%

Tujunga

$ 468,600

20.6%

$ 368

-1.3%

$ 2,127

$ 2,075

$ (51)

4.4%

Van Nuys

$ 439,200

5.5%

$ 303

8.5%

$ 1,966

$ 1,934

$ (32)

4.3%

West Covina

$ 460,600

6.9%

$ 311

2.6%

$ 2,042

$ 2,038

$ (3)

4.3%

Whittier

$ 448,200

7.8%

$ 329

1.9%

$ 2,008

$ 1,990

$ (18)

4.3%

Woodland Hills

$ 652,500

4.6%

$ 360

6.3%

$ 2,554

$ 2,892

$ 338

3.8%

Alhambra 91801

$ 531,300

4.7%

$ 399

12.2%

$ 1,962

$ 2,361

$ 399

3.5%

Alhambra 91803

$ 535,200

4.8%

$ 389

5.7%

$ 1,885

$ 2,387

$ 502

3.4%

Arcadia 91006

$ 928,000

-7.5%

$ 518

4.0%

$ 2,817

$ 4,134

$ 1,317

2.9%

Azusa 91702

$ 372,700

1.7%

$ 286

3.0%

$ 1,887

$ 1,644

$ (243)

4.9%

Canyon Country 91351

$ 395,400

9.2%

$ 258

8.9%

$ 1,744

$ 1,756

$ 13

4.2%

Canyon Country 91387

$ 461,100

9.1%

$ 250

3.5%

$ 2,437

$ 2,016

$ (420)

5.1%

Covina 91722

$ 399,700

5.8%

$ 306

0.4%

$ 2,121

$ 1,778

$ (343)

5.1%

Covina 91723

$ 425,500

9.9%

$ 309

18.1%

$ 1,729

$ 1,884

$ 155

3.9%

Diamond Bar 91765

$ 540,500

2.5%

$ 331

5.0%

$ 2,411

$ 2,394

$ (17)

4.3%

Duarte 91010

$ 413,900

9.9%

$ 344

8.5%

$ 1,994

$ 1,798

$ (197)

4.6%

El Monte 91732

$ 392,800

5.7%

$ 302

8.5%

$ 1,742

$ 1,779

$ 37

4.3%

Glendora 91740

$ 454,700

6.0%

$ 331

6.9%

$ 2,325

$ 2,022

$ (303)

4.9%

Glendora 91741

$ 635,400

4.7%

$ 352

4.6%

$ 2,367

$ 2,831

$ 463

3.6%

Hacienda Hts 91745

$ 552,500

2.9%

$ 313

-0.7%

$ 2,322

$ 2,455

$ 133

4.0%

La Puente 91744

$ 377,300

10.6%

$ 307

5.2%

$ 1,864

$ 1,669

$ (195)

4.7%

La Verne 91750

$ 567,500

5.7%

$ 324

3.1%

$ 2,326

$ 2,585

$ 260

3.9%

Lakewood 90713

$ 507,600

8.8%

$ 390

-0.3%

$ 2,211

$ 2,247

$ 35

4.2%

Lakewood 90715

$ 412,300

11.9%

$ 341

14.9%

$ 1,804

$ 1,807

$ 3

4.2%

Monrovia 91016

$ 548,000

1.1%

$ 399

5.8%

$ 2,306

$ 2,451

$ 146

4.0%

Monterey Park 91754

$ 544,600

6.2%

$ 383

5.6%

$ 2,207

$ 2,367

$ 160

3.9%

Monterey Park 91755

$ 478,200

1.4%

$ 346

-0.2%

$ 2,356

$ 2,132

$ (224)

4.7%

Newhall 91321

$ 343,500

7.3%

$ 254

8.3%

$ 1,683

$ 1,547

$ (135)

4.7%

Norwalk 90650

$ 391,500

14.1%

$ 343

4.5%

$ 1,965

$ 1,741

$ (224)

4.8%

Pasadena 91101

$ 493,500

0.7%

$ 481

4.3%

$ 2,514

$ 2,210

$ (305)

4.9%

Pasadena 91103

$ 604,300

26.7%

$ 492

10.5%

$ 2,392

$ 2,620

$ 228

3.8%

Pasadena 91104

$ 662,500

11.3%

$ 479

13.0%

$ 2,226

$ 2,985

$ 759

3.2%

Pasadena 91105

$ 1,127,600

-2.4%

$ 548

14.7%

$ 3,402

$ 5,172

$ 1,771

2.9%

Pasadena 91106

$ 555,900

10.7%

$ 483

4.6%

$ 2,411

$ 2,435

$ 23

4.2%

Pasadena 91107

$ 699,200

-5.0%

$ 455

0.7%

$ 2,562

$ 3,134

$ 573

3.5%

Playa del Rey 90293

$ 570,200

14.0%

$ 555

5.5%

$ 2,898

$ 2,503

$ (394)

4.9%

Pomona 91767

$ 340,700

7.3%

$ 248

3.9%

$ 1,808

$ 1,505

$ (303)

5.1%

OC Housing News info@ochousingnews.com

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Market Performance and Trends: East Los Angeles County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Pomona 91767

$ 340,700

7.3%

$ 248

3.9%

$ 1,808

$ 1,505

$ (303)

5.1%

Pomona 91768

$ 324,200

8.6%

$ 248

9.7%

$ 1,535

$ 1,433

$ (102)

4.5%

Rosemead 91770

$ 506,200

5.0%

$ 374

3.3%

$ 1,923

$ 2,220

$ 297

3.6%

Rowland Heights 91748

$ 565,100

4.2%

$ 342

2.6%

$ 2,259

$ 2,522

$ 263

3.8%

San Dimas 91773

$ 500,200

7.3%

$ 318

6.5%

$ 2,000

$ 2,175

$ 175

3.8%

San Gabriel 91775

$ 757,400

1.2%

$ 451

-6.8%

$ 2,322

$ 3,334

$ 1,012

2.9%

San Gabriel 91776

$ 548,900

-8.6%

$ 379

12.7%

$ 1,943

$ 2,409

$ 466

3.4%

San Marino 91108

$ 2,223,800

-12.0%

$ 820

1.8%

$ 3,572

$ 9,915

$ 6,342

1.5%

Sierra Madre 91024

$ 870,400

3.8%

$ 489

-6.7%

$ 2,364

$ 3,849

$ 1,485

2.6%

South Pasadena 91030

$ 1,045,700

-2.4%

$ 554

5.2%

$ 2,607

$ 4,614

$ 2,007

2.4%

Stevenson Ranch 91381

$ 623,000

2.5%

$ 265

-5.8%

$ 2,326

$ 2,746

$ 419

3.6%

Sunland 91040

$ 441,900

13.1%

$ 342

32.1%

$ 1,965

$ 1,988

$ 22

4.3%

Temple City 91780

$ 648,500

-3.4%

$ 430

6.5%

$ 2,139

$ 2,936

$ 797

3.2%

Tujunga 91042

$ 468,600

20.7%

$ 368

0.0%

$ 2,359

$ 2,075

$ (284)

4.8%

West Covina 91790

$ 452,500

7.8%

$ 321

3.4%

$ 2,177

$ 1,996

$ (182)

4.6%

West Covina 91791

$ 488,100

3.9%

$ 307

1.0%

$ 2,108

$ 2,153

$ 45

4.1%

West Covina 91792

$ 422,000

7.0%

$ 296

5.2%

$ 1,943

$ 1,899

$ (44)

4.4%

Whittier 90603

$ 504,700

6.1%

$ 335

1.2%

$ 2,499

$ 2,235

$ (264)

4.8%

Whittier 90605

$ 439,000

8.6%

$ 337

8.3%

$ 1,959

$ 1,950

$ (10)

4.3%

Woodland Hills 91364

$ 751,500

3.0%

$ 363

4.9%

$ 3,045

$ 3,318

$ 273

3.9%

OC Housing News info@ochousingnews.com

10 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: East Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

12.0%

26.6%

-14.5%

$ 625,300

50.7%

56.3%

-5.6%

$ 392,400

$ 383,000

-1.3%

12.9%

-14.1%

$ 372,700

$ 421,000

-11.7%

1.8%

-13.5%

Baldwin Park

$ 347,500

$ 389,600

-9.8%

4.2%

-14.0%

Bellflower

$ 420,500

$ 429,400

-3.5%

23.0%

-26.5%

Canyon Country

$ 419,800

$ 484,900

-12.4%

8.8%

-21.2%

Cerritos

$ 629,800

$ 572,000

9.8%

21.4%

-11.6%

Claremont

$ 579,100

$ 496,300

14.2%

19.1%

-4.9%

Covina

$ 430,100

$ 446,400

-4.3%

9.8%

-14.1%

Diamond Bar

$ 533,400

$ 536,000

-0.8%

25.6%

-26.4%

Downey

$ 472,500

$ 428,600

11.0%

7.2%

3.8%

Duarte

$ 413,900

$ 444,900

-10.4%

2.5%

-12.9%

El Monte

$ 412,400

$ 404,000

-1.2%

3.6%

-4.8%

$ 528,100

$ 507,500

5.4%

20.6%

-15.2%

$ 545,000

$ 506,900

7.3%

21.0%

-13.6%

$ 488,500

$ 544,700

-11.8%

-0.5%

-11.3%

$ 380,100

$ 431,300

-12.0%

4.2%

-16.3%

$ 561,900

$ 518,800

10.4%

33.8%

-23.4%

$ 491,300

$ 501,600

-3.1%

12.2%

-15.3%

$ 208,200

$ 328,800

-37.8%

-14.0%

-23.8%

$ 548,000

$ 514,300

10.1%

18.9%

-8.9%

$ 539,800

$ 503,600

7.1%

29.7%

-22.6%

$ 354,300

$ 375,300

-3.1%

23.1%

-26.2%

$ 391,500

$ 438,400

-12.1%

0.4%

-12.5%

$ 249,700

$ 342,400

-26.9%

-15.2%

-11.7%

$ 668,700

$ 532,900

22.1%

17.1%

5.1%

$ 327,200

$ 366,700

-13.9%

-4.6%

-9.3%

$ 565,100

$ 503,900

8.1%

13.5%

-5.4%

$ 500,200

$ 446,200

7.4%

24.5%

-17.2%

$ 660,200

$ 518,000

28.2%

32.5%

-4.3%

$ 2,223,800

$ 796,900

170.8%

100.0%

70.8%

Sierra Madre

$ 836,400

$ 527,300

59.0%

53.2%

5.8%

South Pasadena

$ 1,045,700

$ 581,600

77.3%

56.6%

20.7%

Stevenson Ranch

$ 623,000

$ 519,000

15.8%

14.6%

1.2%

Sunland

$ 441,900

$ 438,400

-0.4%

4.1%

-4.4%

Rating

Median

Alhambra

$ 533,600

$ 468,100

Arcadia

$ 941,700

Artesia

Azusa

City

Glendora Hacienda Heights La Mirada La Puente La Verne Lakewood Lancaster Monrovia Monterey Park Newhall Norwalk Palmdale Pasadena Pomona Rowland Heights San Dimas San Gabriel San Marino

OC Housing News info@ochousingnews.com

11 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: East Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

36.9%

40.6%

-3.7%

-2.4%

-6.7%

4.4%

-3.1%

5.5%

-8.6%

-1.3%

12.4%

-13.7%

-0.1%

10.1%

-10.2%

12.7%

20.2%

-7.6%

18.6%

31.1%

-12.5%

25.2%

20.3%

4.9%

47.1%

56.9%

-9.9%

-11.7%

1.8%

-13.5%

$ 389,000

-2.6%

9.7%

-12.3%

$ 461,100

$ 543,600

-17.9%

31.7%

-49.5%

$ 399,700

$ 473,200

-14.9%

10.5%

-25.3%

Covina 91723

$ 425,500

$ 385,600

7.2%

11.1%

-3.9%

Diamond Bar 91765

$ 540,500

$ 537,900

-0.5%

26.9%

-27.4%

Duarte 91010

$ 413,900

$ 444,900

-10.7%

2.5%

-13.2%

El Monte 91732

$ 392,800

$ 388,500

-0.7%

5.5%

-6.3%

Glendora 91740

$ 454,700

$ 518,700

-10.2%

10.9%

-21.1%

Glendora 91741

$ 635,400

$ 528,100

21.5%

43.2%

-21.7%

Hacienda Hts 91745

$ 552,500

$ 518,000

5.8%

20.9%

-15.1%

La Puente 91744

$ 377,300

$ 415,800

-9.9%

5.0%

-14.9%

La Verne 91750

$ 567,500

$ 518,800

11.3%

33.4%

-22.1%

Lakewood 90713

$ 507,600

$ 493,300

1.8%

12.4%

-10.5%

Lakewood 90715

$ 412,300

$ 402,400

1.9%

10.3%

-8.3%

Monrovia 91016

$ 548,000

$ 514,300

10.1%

18.9%

-8.9%

Monterey Park 91754

$ 544,600

$ 492,300

10.1%

30.8%

-20.7%

Monterey Park 91755

$ 478,200

$ 525,500

-8.0%

23.4%

-31.4%

Newhall 91321

$ 343,500

$ 375,300

-5.8%

23.7%

-29.5%

Norwalk 90650

$ 391,500

$ 438,400

-12.1%

0.4%

-12.4%

Pasadena 91101

$ 493,500

$ 560,900

-12.2%

-8.8%

-3.4%

Pasadena 91103

$ 604,300

$ 533,600

8.0%

-5.2%

13.2%

Pasadena 91104

$ 662,500

$ 496,500

33.5%

31.3%

2.2%

Pasadena 91105

$ 1,127,600

$ 758,900

51.8%

65.5%

-13.7%

$ 555,900

$ 537,900

0.2%

15.8%

-15.6%

$ 699,200

$ 571,500

23.4%

32.5%

-9.1%

$ 570,200

$ 646,400

-13.4%

19.5%

-32.9%

Rating

Median

Temple City

$ 653,700

$ 477,100

Tujunga

$ 468,600

$ 474,400

Van Nuys

$ 439,200

$ 438,700

West Covina

$ 460,600

$ 455,500

Whittier

$ 448,200

$ 448,000

Woodland Hills

$ 652,500

$ 569,700

Alhambra 91801

$ 531,300

$ 437,600

Alhambra 91803

$ 535,200

$ 420,400

Arcadia 91006

$ 928,000

$ 628,400

Azusa 91702

$ 372,700

$ 421,000

Canyon Country 91351

$ 395,400

Canyon Country 91387

Covina 91722

City

Pasadena 91106 Pasadena 91107 Playa del Rey 90293

OC Housing News info@ochousingnews.com

12 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: East Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-16.4%

-6.7%

-9.6%

-5.7%

-8.1%

2.4%

14.0%

29.3%

-15.3%

8.1%

14.0%

-5.9%

7.4%

24.5%

-17.2%

42.0%

43.4%

-1.4%

24.0%

37.3%

-13.4%

170.8%

99.5%

71.3%

64.6%

53.2%

11.3%

77.3%

56.6%

20.7%

$ 519,000

15.8%

23.4%

-7.5%

$ 441,900

$ 438,400

-0.4%

3.1%

-3.5%

$ 648,500

$ 477,100

36.3%

40.8%

-4.5%

Tujunga 91042

$ 468,600

$ 526,200

-11.7%

-0.5%

-11.2%

West Covina 91790

$ 452,500

$ 485,700

-7.3%

14.4%

-21.8%

West Covina 91791

$ 488,100

$ 470,300

0.5%

13.9%

-13.3%

West Covina 91792

$ 422,000

$ 433,400

-0.3%

12.6%

-12.9%

Whittier 90603

$ 504,700

$ 557,600

-9.6%

20.4%

-30.0%

Whittier 90605

$ 439,000

$ 437,100

2.3%

15.9%

-13.7%

Woodland Hills 91364

$ 751,500

$ 679,400

7.0%

15.7%

-8.7%

Rating

Median

Pomona 91767

$ 340,700

$ 403,200

Pomona 91768

$ 324,200

$ 342,400

Rosemead 91770

$ 506,200

$ 428,900

Rowland Heights 91748

$ 565,100

$ 503,900

San Dimas 91773

$ 500,200

$ 446,200

San Gabriel 91775

$ 757,400

$ 518,000

San Gabriel 91776

$ 548,900

$ 433,500

San Marino 91108

$ 2,223,800

$ 796,900

Sierra Madre 91024

$ 870,400

$ 527,300

South Pasadena 91030

$ 1,045,700

$ 581,600

Stevenson Ranch 91381

$ 623,000

Sunland 91040

Temple City 91780

City

OC Housing News info@ochousingnews.com

13 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: West Los Angeles County, Major Cities, and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Agoura Hills

$ 687,600

9.2%

$ 349

4.4%

$ 2,788

$ 3,026

$ 239

3.9%

Altadena

$ 672,700

12.3%

$ 446

-7.7%

$ 2,467

$ 3,019

$ 552

3.5%

Beverly Hills

$ 2,211,100

7.8%

$ 954

7.8%

$ 3,963

$ 9,684

$ 5,721

1.7%

Burbank

$ 642,600

4.2%

$ 444

10.9%

$ 2,692

$ 2,849

$ 157

4.0%

Calabasas

$ 1,035,900

5.8%

$ 412

1.7%

$ 3,268

$ 4,599

$ 1,331

3.0%

Canoga Park

$ 368,400

12.5%

$ 298

0.1%

$ 1,792

$ 1,656

$ (136)

4.7%

Carson

$ 413,100

8.8%

$ 300

10.5%

$ 2,257

$ 1,850

$ (407)

5.2%

Chatsworth

$ 483,900

0.7%

$ 271

9.7%

$ 2,460

$ 2,235

$ (225)

4.9%

Culver City

$ 739,300

17.4%

$ 578

3.1%

$ 3,177

$ 3,277

$ 100

4.1%

Encino

$ 689,600

2.0%

$ 401

7.2%

$ 2,747

$ 3,108

$ 361

3.8%

Gardena

$ 418,300

9.6%

$ 322

7.2%

$ 2,243

$ 1,855

$ (388)

5.1%

Glendale

$ 631,300

9.4%

$ 423

3.4%

$ 2,262

$ 2,842

$ 580

3.4%

Granada Hills

$ 534,300

9.2%

$ 319

6.6%

$ 2,476

$ 2,389

$ (86)

4.4%

Harbor City

$ 485,900

8.3%

$ 319

1.7%

$ 2,375

$ 2,107

$ (267)

4.7%

Hawthorne

$ 485,000

5.5%

$ 392

4.9%

$ 2,939

$ 2,182

$ (757)

5.8%

Hermosa Beach

$ 1,394,100

11.2%

$ 934

11.1%

$ 3,766

$ 6,119

$ 2,353

2.6%

Inglewood

$ 368,200

20.2%

$ 291

1.6%

$ 1,694

$ 1,637

$ (56)

4.4%

La Canada Flintridge

$ 1,564,100

12.8%

$ 632

-1.9%

$ 3,577

$ 6,829

$ 3,252

2.2%

La Crescenta

$ 728,300

9.4%

$ 458

13.1%

$ 3,212

$ 3,237

$ 24

4.2%

Lomita

$ 523,400

11.0%

$ 373

9.7%

$ 2,203

$ 2,320

$ 117

4.0%

Long Beach

$ 462,000

8.2%

$ 382

9.5%

$ 2,197

$ 2,048

$ (149)

4.6%

Los Angeles (City)

$ 654,600

6.8%

$ 512

7.8%

$ 3,233

$ 2,915

$ (317)

4.7%

Malibu

$ 2,022,100

1.5%

$ 1,049

7.0%

$ 3,960

$ 8,719

$ 4,759

1.9%

Manhattan Beach

$ 2,096,600

18.0%

$ 1,138

15.1%

$ 3,856

$ 9,078

$ 5,223

1.8%

Marina del Rey

$ 896,900

6.7%

$ 604

6.2%

$ 3,517

$ 3,954

$ 436

3.8%

Montrose

$ 547,800

5.6%

$ 406

-1.7%

$ 2,701

$ 2,442

$ (260)

4.7%

North Hills

$ 433,400

10.6%

$ 267

7.7%

$ 2,446

$ 1,931

$ (515)

5.4%

North Hollywood

$ 472,600

11.3%

$ 364

3.8%

$ 2,171

$ 2,094

$ (78)

4.4%

Northridge

$ 600,500

8.3%

$ 304

4.4%

$ 3,081

$ 2,661

$ (421)

4.9%

Pacific Palisades

$ 2,251,700

4.7%

$ 925

-1.2%

$ 4,642

$ 10,019

$ 5,378

2.0%

Playa del Rey

$ 570,200

14.0%

$ 555

6.2%

$ 2,898

$ 2,503

$ (394)

4.9%

Rancho Palos Verdes

$ 1,093,200

5.2%

$ 518

3.3%

$ 3,825

$ 4,809

$ 984

3.4%

Redondo Beach

$ 852,900

7.3%

$ 536

3.7%

$ 3,117

$ 3,819

$ 702

3.5%

Reseda

$ 428,300

10.9%

$ 311

2.5%

$ 2,359

$ 1,900

$ (459)

5.3%

San Pedro

$ 467,700

7.6%

$ 354

4.5%

$ 1,943

$ 2,079

$ 136

4.0%

Santa Monica

$ 1,196,800

0.6%

$ 940

8.2%

$ 3,592

$ 5,402

$ 1,810

2.9%

Sherman Oaks

$ 735,500

6.7%

$ 451

3.1%

$ 2,814

$ 3,221

$ 408

3.7%

OC Housing News info@ochousingnews.com

14 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: West Los Angeles County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Studio City

$ 927,700

5.8%

$ 530

12.5%

$ 3,682

$ 4,189

$ 507

3.8%

Sylmar

$ 395,400

5.5%

$ 268

3.1%

$ 2,400

$ 1,754

$ (646)

5.8%

Tarzana

$ 559,700

5.4%

$ 333

9.3%

$ 2,649

$ 2,503

$ (146)

4.5%

Torrance

$ 591,500

2.7%

$ 417

5.6%

$ 2,693

$ 2,644

$ (49)

4.4%

Valencia

$ 472,500

5.6%

$ 288

4.2%

$ 2,459

$ 2,090

$ (368)

5.0%

Valley Village

$ 782,400

4.6%

$ 423

11.0%

$ 2,790

$ 3,489

$ 700

3.4%

Venice

$ 1,597,700

8.3%

$ 1,096

9.4%

$ 3,958

$ 7,269

$ 3,310

2.4%

Walnut

$ 709,900

-1.5%

$ 370

3.2%

$ 2,616

$ 3,182

$ 566

3.5%

West Hills

$ 574,300

10.6%

$ 346

5.8%

$ 2,735

$ 2,544

$ (192)

4.6%

West Hollywood

$ 695,600

15.3%

$ 701

4.2%

$ 3,489

$ 3,067

$ (421)

4.8%

Winnetka

$ 460,300

8.9%

$ 293

3.3%

$ 2,474

$ 2,026

$ (449)

5.2%

Agoura Hills 91301

$ 687,600

9.2%

$ 349

4.4%

$ 2,788

$ 3,026

$ 239

3.9%

Altadena 91001

$ 672,700

12.1%

$ 446

-7.7%

$ 2,467

$ 3,019

$ 552

3.5%

Beverly Hills 90210

$ 2,717,800

6.2%

$ 1,036

5.2%

$ 3,913

$ 12,185

$ 8,273

1.4%

Beverly Hills 90211

$ 1,541,600

0.1%

$ 756

1.7%

$ 4,298

$ 6,698

$ 2,400

2.7%

Burbank 91501

$ 598,000

8.7%

$ 433

0.6%

$ 2,567

$ 2,632

$ 65

4.1%

Burbank 91504

$ 623,700

3.2%

$ 405

4.1%

$ 2,889

$ 2,748

$ (141)

4.4%

Burbank 91505

$ 628,000

4.7%

$ 470

14.8%

$ 2,456

$ 2,784

$ 328

3.8%

Calabasas 91302

$ 1,124,800

5.0%

$ 414

1.6%

$ 3,356

$ 4,886

$ 1,531

2.9%

Chatsworth 91311

$ 483,900

0.7%

$ 271

9.7%

$ 2,460

$ 2,235

$ (225)

4.9%

Culver City 90230

$ 510,800

16.6%

$ 531

5.2%

$ 2,839

$ 2,220

$ (619)

5.3%

Gardena 90247

$ 383,000

7.8%

$ 299

-2.0%

$ 1,600

$ 1,705

$ 105

4.0%

Glendale 91202

$ 571,200

10.6%

$ 401

10.7%

$ 2,571

$ 2,513

$ (58)

4.3%

Glendale 91206

$ 628,600

7.4%

$ 389

-3.2%

$ 2,246

$ 2,645

$ 399

3.4%

Glendale 91207

$ 810,900

15.3%

$ 452

4.6%

$ 2,665

$ 3,675

$ 1,011

3.2%

Glendale 91208

$ 829,000

10.8%

$ 449

1.2%

$ 2,635

$ 3,700

$ 1,065

3.1%

Granada Hills 91344

$ 537,200

8.5%

$ 318

6.6%

$ 2,476

$ 2,406

$ (69)

4.4%

Harbor City 90710

$ 482,100

8.2%

$ 319

2.0%

$ 2,383

$ 2,098

$ (285)

4.7%

La Canada Flintridge 91011 $ 1,564,100

12.8%

$ 632

-1.9%

$ 3,577

$ 6,829

$ 3,252

2.2%

La Crescenta 91214

$ 728,300

9.4%

$ 458

13.1%

$ 3,212

$ 3,237

$ 24

4.2%

Lomita 90717

$ 523,400

11.4%

$ 373

9.1%

$ 2,203

$ 2,320

$ 117

4.0%

Long Beach 90802

$ 293,000

9.0%

$ 377

9.4%

$ 2,084

$ 1,291

$ (793)

6.8%

Long Beach 90803

$ 660,700

4.3%

$ 502

7.5%

$ 2,497

$ 3,044

$ 547

3.6%

Long Beach 90804

$ 359,700

6.6%

$ 358

7.6%

$ 1,881

$ 1,577

$ (304)

5.0%

Long Beach 90805

$ 353,300

7.4%

$ 308

10.2%

$ 1,933

$ 1,568

$ (365)

5.3%

Long Beach 90805

$ 353,300

7.4%

$ 308

10.2%

$ 1,933

$ 1,568

$ (365)

5.3%

Long Beach 90806

$ 422,800

15.9%

$ 346

9.8%

$ 1,653

$ 1,849

$ 196

3.8%

OC Housing News info@ochousingnews.com

15 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: West Los Angeles County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Long Beach 90807

$ 533,500

11.1%

$ 369

8.3%

$ 1,556

$ 2,325

$ 769

2.8%

Long Beach 90808

$ 571,900

3.6%

$ 398

10.0%

$ 2,252

$ 2,546

$ 295

3.8%

Long Beach 90813

$ 299,800

15.0%

$ 300

10.3%

$ 1,182

$ 1,332

$ 150

3.8%

Long Beach 90814

$ 617,400

1.6%

$ 419

27.3%

$ 2,236

$ 2,718

$ 482

3.5%

Long Beach 90815

$ 582,300

8.9%

$ 406

11.2%

$ 2,462

$ 2,571

$ 110

4.1%

Los Angeles 90004

$ 806,300

12.1%

$ 629

23.3%

$ 3,448

$ 3,610

$ 162

4.1%

Los Angeles 90005

$ 607,700

-2.3%

$ 435

10.6%

$ 2,943

$ 2,659

$ (284)

4.6%

Los Angeles 90012

$ 460,800

2.5%

$ 519

7.0%

$ 2,294

$ 2,051

$ (243)

4.8%

Los Angeles 90019

$ 877,200

9.7%

$ 497

5.6%

$ 2,587

$ 3,896

$ 1,309

2.8%

Los Angeles 90020

$ 441,800

1.6%

$ 493

9.0%

$ 2,326

$ 1,946

$ (380)

5.1%

Los Angeles 90024

$ 834,800

5.7%

$ 678

5.7%

$ 3,114

$ 3,686

$ 573

3.6%

Los Angeles 90025

$ 772,100

10.5%

$ 586

7.5%

$ 3,721

$ 3,430

$ (291)

4.6%

Los Angeles 90026

$ 826,900

8.4%

$ 592

-1.7%

$ 3,450

$ 3,544

$ 94

4.0%

Los Angeles 90027

$ 1,205,000

2.7%

$ 605

10.7%

$ 3,193

$ 5,319

$ 2,126

2.5%

Los Angeles 90034

$ 828,000

12.6%

$ 596

32.4%

$ 3,811

$ 3,763

$ (48)

4.4%

Los Angeles 90035

$ 973,900

14.6%

$ 625

8.3%

$ 3,269

$ 4,288

$ 1,019

3.2%

Los Angeles 90036

$ 1,205,200

1.9%

$ 617

10.0%

$ 3,743

$ 5,153

$ 1,411

3.0%

Los Angeles 90042

$ 511,700

0.7%

$ 443

9.6%

$ 2,127

$ 2,315

$ 187

4.0%

Los Angeles 90045

$ 913,200

8.5%

$ 576

15.1%

$ 3,627

$ 4,009

$ 382

3.8%

Los Angeles 90046

$ 1,232,200

1.3%

$ 696

-3.9%

$ 3,426

$ 5,566

$ 2,140

2.7%

Los Angeles 90048

$ 1,507,200

13.6%

$ 759

-0.5%

$ 3,744

$ 6,643

$ 2,899

2.4%

Los Angeles 90049

$ 1,624,800

5.6%

$ 801

11.5%

$ 3,743

$ 7,057

$ 3,314

2.2%

Los Angeles 90064

$ 1,066,400

8.1%

$ 693

6.3%

$ 3,478

$ 4,627

$ 1,149

3.1%

Los Angeles 90066

$ 1,126,600

9.8%

$ 710

4.0%

$ 3,793

$ 4,990

$ 1,197

3.2%

Los Angeles 90068

$ 1,193,500

7.8%

$ 612

7.7%

$ 3,944

$ 5,321

$ 1,377

3.2%

Manhattan Beach 90266

$ 2,096,600

18.3%

$ 1,141

14.2%

$ 3,856

$ 9,078

$ 5,223

1.8%

Marina del Rey 90292

$ 896,900

6.7%

$ 604

6.2%

$ 3,517

$ 3,954

$ 436

3.8%

Montrose 91020

$ 551,400

6.2%

$ 407

-1.0%

$ 2,676

$ 2,455

$ (221)

4.7%

North Hills 91343

$ 433,400

10.6%

$ 267

7.6%

$ 2,446

$ 1,931

$ (515)

5.4%

Northridge 91325

$ 531,800

10.7%

$ 292

3.5%

$ 2,357

$ 2,352

$ (5)

4.3%

Pacific Palisades 90272

$ 2,251,700

4.8%

$ 926

-0.5%

$ 4,642

$ 10,019

$ 5,378

2.0%

Palos Verdes Estates 90274$ 1,640,200

-2.3%

$ 674

8.7%

$ 3,793

$ 7,467

$ 3,674

2.2%

Redondo Beach 90277

$ 911,500

6.0%

$ 597

5.6%

$ 3,147

$ 4,093

$ 946

3.3%

Redondo Beach 90278

$ 804,800

11.2%

$ 485

4.1%

$ 3,285

$ 3,587

$ 302

3.9%

Reseda 91335

$ 428,300

11.0%

$ 311

2.5%

$ 2,359

$ 1,900

$ (459)

5.3%

San Pedro 90731

$ 472,300

8.7%

$ 363

3.2%

$ 1,668

$ 2,085

$ 417

3.4%

San Pedro 90732

$ 460,400

6.7%

$ 343

6.5%

$ 1,939

$ 2,054

$ 115

4.0%

OC Housing News info@ochousingnews.com

16 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: West Los Angeles County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Santa Monica 90402

$ 2,832,500

3.3%

$ 1,239

-8.7%

$ 3,631

$ 12,592

$ 8,961

1.2%

Santa Monica 90403

$ 1,183,300

2.5%

$ 825

1.2%

$ 3,715

$ 5,062

$ 1,347

3.0%

Santa Monica 90404

$ 755,800

7.3%

$ 661

5.8%

$ 3,310

$ 3,505

$ 196

4.2%

Santa Monica 90405

$ 1,359,800

6.6%

$ 906

6.4%

$ 3,577

$ 6,153

$ 2,576

2.5%

Sherman Oaks 91403

$ 842,100

7.2%

$ 450

1.9%

$ 2,721

$ 3,760

$ 1,038

3.1%

Sherman Oaks 91423

$ 857,300

7.0%

$ 471

4.3%

$ 2,669

$ 3,684

$ 1,015

3.0%

Tarzana 91356

$ 754,800

7.4%

$ 339

10.9%

$ 2,611

$ 3,198

$ 586

3.3%

Torrance 90501

$ 544,800

2.4%

$ 404

3.4%

$ 2,459

$ 2,404

$ (54)

4.3%

Torrance 90502

$ 613,900

-24.3%

$ 316

0.4%

$ 1,806

$ 2,732

$ 926

2.8%

Torrance 90503

$ 668,700

6.7%

$ 453

4.4%

$ 2,725

$ 2,957

$ 232

3.9%

Torrance 90504

$ 579,300

5.9%

$ 417

2.8%

$ 2,616

$ 2,598

$ (18)

4.3%

Torrance 90505

$ 772,300

-2.3%

$ 458

8.1%

$ 3,004

$ 3,485

$ 481

3.7%

Valencia 91354

$ 479,000

5.3%

$ 275

4.5%

$ 2,527

$ 2,117

$ (410)

5.1%

Valencia 91355

$ 430,100

7.5%

$ 302

5.7%

$ 1,877

$ 1,930

$ 53

4.2%

Valley Village 91607

$ 810,800

3.9%

$ 415

9.3%

$ 2,790

$ 3,566

$ 776

3.3%

Venice 90291

$ 1,662,600

12.9%

$ 1,155

10.2%

$ 3,709

$ 7,547

$ 3,837

2.1%

Walnut 91789

$ 709,900

-1.5%

$ 370

3.2%

$ 2,616

$ 3,182

$ 566

3.5%

West Hills 91307

$ 536,900

6.8%

$ 340

4.5%

$ 2,793

$ 2,386

$ (407)

5.0%

West Hollywood 90069

$ 682,400

21.0%

$ 704

4.8%

$ 3,488

$ 2,941

$ (547)

4.9%

Winnetka 91306

$ 460,300

8.9%

$ 293

3.3%

$ 2,474

$ 2,026

$ (449)

5.2%

OC Housing News info@ochousingnews.com

17 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: West Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

8.0%

24.3%

-16.3%

$ 550,300

25.5%

5.4%

20.1%

$ 2,211,100

$ 884,100

143.6%

136.7%

6.9%

$ 642,600

$ 600,500

7.4%

3.5%

3.9%

Calabasas

$ 1,035,900

$ 729,000

38.9%

70.9%

-32.0%

Canoga Park

$ 368,400

$ 399,800

-11.9%

13.8%

-25.7%

Carson

$ 413,100

$ 503,600

-18.1%

-3.3%

-14.7%

Chatsworth

$ 483,900

$ 548,900

-9.4%

8.7%

-18.1%

Culver City

$ 739,300

$ 708,700

5.5%

6.5%

-1.0%

Encino

$ 689,600

$ 612,900

13.1%

25.7%

-12.6%

Gardena

$ 418,300

$ 500,300

-17.0%

5.0%

-22.0%

Glendale

$ 631,300

$ 504,600

23.1%

21.5%

1.6%

Granada Hills

$ 534,300

$ 552,300

-1.7%

3.1%

-4.8%

Harbor City

$ 485,900

$ 529,800

-11.6%

13.8%

-25.4%

$ 485,000

$ 655,700

-22.2%

-18.5%

-3.7%

$ 1,394,100

$ 840,100

60.3%

62.6%

-2.4%

$ 368,200

$ 377,800

-0.8%

9.6%

-10.4%

$ 1,564,100

$ 798,100

94.6%

58.7%

35.9%

$ 728,300

$ 716,600

0.8%

14.5%

-13.7%

$ 523,400

$ 491,400

10.8%

39.0%

-28.3%

$ 462,000

$ 490,100

-6.8%

2.2%

-9.0%

$ 654,600

$ 721,100

-9.3%

-23.1%

13.8%

$ 2,022,100

$ 883,400

119.3%

92.4%

26.8%

$ 2,096,600

$ 860,100

135.1%

67.3%

67.8%

$ 896,900

$ 784,700

10.0%

11.1%

-1.1%

$ 547,800

$ 602,700

-9.6%

8.2%

-17.8%

$ 433,400

$ 545,600

-20.3%

-3.1%

-17.2%

$ 472,600

$ 484,400

-5.1%

-2.9%

-2.2%

$ 600,500

$ 687,400

-10.5%

-8.4%

-2.1%

$ 2,251,700

$ 1,035,500

122.8%

103.8%

19.0%

$ 570,200

$ 646,400

-13.4%

20.8%

-34.1%

$ 1,093,200

$ 853,300

26.8%

71.1%

-44.3%

Redondo Beach

$ 852,900

$ 695,300

20.1%

21.0%

-0.9%

Reseda

$ 428,300

$ 526,300

-18.5%

-9.3%

San Pedro

$ 467,700

$ 433,500

5.0%

34.9%

-29.9%

Santa Monica

$ 1,196,800

$ 801,300

51.3%

16.2%

35.0%

Sherman Oaks

$ 735,500

$ 627,700

13.5%

21.0%

-7.5%

Rating

Median

Agoura Hills

$ 687,600

$ 621,900

Altadena

$ 672,700

Beverly Hills

Burbank

City

Hawthorne Hermosa Beach Inglewood La Canada Flintridge La Crescenta Lomita Long Beach Los Angeles (City) Malibu Manhattan Beach Marina del Rey Montrose North Hills North Hollywood Northridge Pacific Palisades Playa del Rey Rancho Palos Verdes

OC Housing News info@ochousingnews.com

18 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: West Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

17.3%

23.0%

-5.7%

-25.4%

-6.8%

-18.6%

-5.0%

21.2%

-26.2%

-3.0%

17.1%

-20.1%

-14.8%

6.8%

-21.6%

24.1%

40.8%

-16.6%

86.3%

-9.1%

95.4%

21.8%

36.2%

-14.4%

-6.6%

2.2%

-8.8%

-11.9%

-9.1%

-2.7%

$ 551,900

-17.4%

-2.3%

-15.2%

$ 687,600

$ 621,900

8.0%

24.3%

-16.3%

$ 672,700

$ 550,300

25.5%

5.4%

20.1%

Beverly Hills 90210

$ 2,717,800

$ 872,900

211.1%

195.7%

15.4%

Beverly Hills 90211

$ 1,541,600

$ 958,900

58.7%

64.5%

-5.8%

Burbank 91501

$ 598,000

$ 572,700

4.5%

12.7%

-8.2%

Burbank 91504

$ 623,700

$ 644,500

-2.7%

14.8%

-17.5%

Burbank 91505

$ 628,000

$ 547,800

12.4%

4.4%

8.0%

Calabasas 91302

$ 1,124,800

$ 748,600

43.5%

65.1%

-21.6%

Chatsworth 91311

$ 483,900

$ 548,900

-9.4%

8.7%

-18.1%

Culver City 90230

$ 510,800

$ 633,300

-19.8%

7.9%

-27.7%

Gardena 90247

$ 383,000

$ 357,000

9.0%

11.6%

-2.7%

Glendale 91202

$ 571,200

$ 573,600

-4.7%

29.6%

-34.3%

Glendale 91206

$ 628,600

$ 501,000

18.3%

29.7%

-11.5%

Glendale 91207

$ 810,900

$ 594,400

37.2%

74.7%

-37.5%

Glendale 91208

$ 829,000

$ 587,900

40.4%

49.8%

-9.3%

Granada Hills 91344

$ 537,200

$ 552,300

-1.0%

3.1%

-4.1%

Harbor City 90710

$ 482,100

$ 531,500

-12.5%

15.0%

-27.5%

La Canada Flintridge 91011

$ 1,564,100

$ 798,100

94.6%

62.6%

31.9%

La Crescenta 91214

$ 728,300

$ 716,600

0.8%

14.1%

-13.3%

Lomita 90717

$ 523,400

$ 491,400

10.8%

36.0%

-25.2%

Long Beach 90802

$ 293,000

$ 465,000

-36.4%

-40.4%

4.0%

Long Beach 90803

$ 660,700

$ 557,100

16.1%

56.1%

-40.0%

$ 359,700

$ 419,700

-17.8%

3.5%

-21.3%

$ 353,300

$ 431,200

-19.1%

19.7%

-38.8%

$ 353,300

$ 431,200

-19.1%

19.7%

-38.8%

$ 422,800

$ 368,700

13.9%

52.5%

-38.6%

Rating

Median

Studio City

$ 927,700

$ 821,500

Sylmar

$ 395,400

$ 535,500

Tarzana

$ 559,700

$ 591,000

Torrance

$ 591,500

$ 600,700

Valencia

$ 472,500

$ 548,500

Valley Village

$ 782,400

$ 622,300

Venice

$ 1,597,700

$ 883,100

Walnut

$ 709,900

$ 583,500

West Hills

$ 574,300

$ 610,200

West Hollywood

$ 695,600

$ 778,300

Winnetka

$ 460,300

Agoura Hills 91301

Altadena 91001

City

Long Beach 90804 Long Beach 90805 Long Beach 90805 Long Beach 90806 OC Housing News info@ochousingnews.com

19 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: West Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

48.2%

74.4%

-26.1%

8.8%

13.0%

-4.2%

11.7%

-2.0%

13.7%

24.6%

29.4%

-4.8%

5.0%

15.1%

-10.1%

6.1%

44.2%

-38.0%

-8.7%

48.5%

-57.1%

-9.8%

-5.2%

-4.5%

46.7%

3.8%

42.9%

-16.7%

17.4%

-34.1%

$ 694,700

16.9%

43.9%

-27.0%

$ 772,100

$ 830,200

-7.5%

14.7%

-22.2%

$ 826,900

$ 769,800

5.6%

-11.1%

16.7%

Los Angeles 90027

$ 1,205,000

$ 712,300

68.4%

53.4%

15.0%

Los Angeles 90034

$ 828,000

$ 850,100

-1.1%

3.2%

-4.4%

Los Angeles 90035

$ 973,900

$ 729,400

32.3%

15.8%

16.6%

Los Angeles 90036

$ 1,205,200

$ 835,000

39.4%

11.4%

28.0%

Los Angeles 90042

$ 511,700

$ 474,600

8.6%

-5.0%

13.6%

Los Angeles 90045

$ 913,200

$ 809,100

13.2%

20.4%

-7.2%

Los Angeles 90046

$ 1,232,200

$ 764,300

64.9%

14.2%

50.6%

Los Angeles 90048

$ 1,507,200

$ 835,200

81.6%

28.8%

52.8%

Los Angeles 90049

$ 1,624,800

$ 835,100

86.8%

110.5%

-23.6%

Los Angeles 90064

$ 1,066,400

$ 775,900

33.6%

37.1%

-3.5%

Los Angeles 90066

$ 1,126,600

$ 846,300

30.2%

14.8%

15.3%

Los Angeles 90068

$ 1,193,500

$ 879,800

36.1%

17.8%

18.3%

Manhattan Beach 90266

$ 2,096,600

$ 860,100

135.1%

66.1%

69.1%

Marina del Rey 90292

$ 896,900

$ 784,700

10.0%

11.0%

-1.0%

Montrose 91020

$ 551,400

$ 597,000

-8.3%

7.9%

-16.2%

North Hills 91343

$ 433,400

$ 545,600

-20.3%

-3.1%

-17.2%

Northridge 91325

$ 531,800

$ 525,800

-1.0%

21.6%

-22.6%

Pacific Palisades 90272

$ 2,251,700

$ 1,035,500

122.8%

103.5%

19.3%

Palos Verdes Estates 90274

$ 1,640,200

$ 846,100

105.6%

94.0%

11.6%

Redondo Beach 90277

$ 911,500

$ 702,100

27.0%

31.5%

-4.5%

$ 804,800

$ 732,900

9.7%

12.3%

-2.5%

$ 428,300

$ 526,300

-18.5%

-9.3%

$ 472,300

$ 372,200

23.4%

45.2%

-21.8%

$ 460,400

$ 432,500

4.2%

32.7%

-28.5%

Rating

Median

Long Beach 90807

$ 533,500

$ 347,200

Long Beach 90808

$ 571,900

$ 502,300

Long Beach 90813

$ 299,800

$ 263,600

Long Beach 90814

$ 617,400

$ 498,700

Long Beach 90815

$ 582,300

$ 549,200

Los Angeles 90004

$ 806,300

$ 769,200

Los Angeles 90005

$ 607,700

$ 656,500

Los Angeles 90012

$ 460,800

$ 511,700

Los Angeles 90019

$ 877,200

$ 577,100

Los Angeles 90020

$ 441,800

$ 518,900

Los Angeles 90024

$ 834,800

Los Angeles 90025

Los Angeles 90026

City

Redondo Beach 90278 Reseda 91335 San Pedro 90731 San Pedro 90732 OC Housing News info@ochousingnews.com

20 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: West Los Angeles County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

$ 2,832,500

$ 810,000

242.7%

179.8%

62.9%

$ 1,183,300

$ 828,800

34.2%

5.9%

28.3%

Santa Monica 90404

$ 755,800

$ 738,400

5.1%

5.4%

-0.3%

Santa Monica 90405

$ 1,359,800

$ 798,000

72.0%

14.0%

58.0%

Sherman Oaks 91403

$ 842,100

$ 607,100

40.9%

28.4%

12.5%

Sherman Oaks 91423

$ 857,300

$ 595,500

34.9%

25.8%

9.1%

Tarzana 91356

$ 754,800

$ 582,600

22.6%

22.5%

0.0%

Torrance 90501

$ 544,800

$ 548,500

-1.0%

16.3%

-17.4%

Torrance 90502

$ 613,900

$ 402,800

48.8%

120.2%

-71.4%

Torrance 90503

$ 668,700

$ 607,900

6.9%

31.3%

-24.5%

Torrance 90504

$ 579,300

$ 583,600

0.2%

16.5%

-16.3%

Torrance 90505

$ 772,300

$ 670,200

14.5%

38.4%

-23.9%

Valencia 91354

$ 479,000

$ 563,800

-15.7%

12.5%

-28.2%

Valencia 91355

$ 430,100

$ 418,600

-1.5%

36.2%

-37.7%

Valley Village 91607

$ 810,800

$ 622,300

26.8%

4.6%

22.2%

Venice 90291

$ 1,662,600

$ 827,500

104.4%

-9.2%

113.6%

Walnut 91789

$ 709,900

$ 583,500

21.8%

36.2%

-14.4%

West Hills 91307

$ 536,900

$ 623,000

-13.2%

4.6%

-17.8%

West Hollywood 90069

$ 682,400

$ 778,100

-15.9%

-8.1%

-7.8%

Winnetka 91306

$ 460,300

$ 551,900

-17.4%

-2.3%

-15.2%

Rating

Median

Santa Monica 90402

Santa Monica 90403

City

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Orange County Housing Market News Historically, properties in this market sell at a 0.6% premium. Today's discount is 3.5%. This market is 4.1% undervalued. Median home price is $594,700 with a rental parity value of $611,600. This market's discount is $16,900. Monthly payment affordability has been improving over the last 3 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $392/SF to $394/SF. Resale prices have been rising for 11 month(s). Over the last 12 months, resale prices rose 5.1% indicating a longer term upward price trend. Median rental rates declined $8 last month from $2,750 to $2,741. The current capitalization rate (rent/price) is 4.4%. Rents have been rising for 12 month(s). Price momentum signals rising rents over the next three months. Market rating = 8

Median Home Price and Rental Parity trailing twelve months Rating 8 8 8 8 8 8 8 8 8 8 8 8

Median Rental Parity Historic Value $640,000 $ 560,800 $ 601,600 $ 605,294 $ 558,800 $ 597,800 $ 601,470 $620,000 $ 560,500 $ 593,400 $ 597,043 $600,000 $ 563,400 $ 600,700 $ 604,388 $580,000 $ 569,400 $ 599,500 $ 603,181 $ 577,800 $ 595,100 $ 598,754 $560,000 $ 586,900 $ 597,500 $ 601,169 $540,000 $ 592,800 $ 617,000 $ 620,788 $ 594,400 $ 622,300 $ 626,121 $520,000 $ 597,000 $ 627,200 $ 631,051 $ 596,600 $ 615,000 $ 618,776 $ 594,700 $ 611,600 $ 615,355

Median

Rental Parity

Historic Value

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Resale $/SF and year-over-year percentage change trailing twelve months Âą Typ. Value -5.7% -6.8% -6.9% -6.7% -6.2% -5.3% -3.9% -3.5% -4.0% -5.0% -4.7% -4.1%

$/SF $ 374 $ 375 $ 375 $ 377 $ 378 $ 380 $ 384 $ 386 $ 388 $ 391 $ 392 $ 394

% Change 5.9% 4.8% 4.7% 4.5% 3.8% 3.5% 3.3% 3.7% 3.6% 4.5% 4.7% 5.1%

$400 $394 $391 $392 $395 $388 $386 $390 $384 $385 $378 $380 $380 $374 $375 $375 $377 $375 $370 $365 $360 1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

0.00613984

Rental rate and year-over-year percentage change trailing twelve months

OC Housing News info@ochousingnews.com

9 ,59 9 $2 ,64 8 $2 ,67 4 $2 ,70 8 $2 ,74 9 $2 ,76 6 $2 ,75 8 $2 ,75 0 $2 ,74 2 $2

,59

Own Historic Cost to Own Relative to Rent $2,900 $ 2,494 $ 2,632 $2,800 $ 2,454 $ 2,615 $2,700 $ 2,441 $ 2,615 $ 2,441 $ 2,615 $2,600 $ 2,469 $ 2,665 $2,500 $ 2,516 $ 2,691 $2,400 $ 2,590 $ 2,724 $2,300 $ 2,632 $ 2,766 Rent Own $2,200 $ 2,647 $ 2,783 $ 2,636 $ 2,774 $ 2,645 $ 2,767 $ 2,652 $ 2,759 ,61

Rent $ 2,616 $ 2,599 $ 2,599 $ 2,599 $ 2,648 $ 2,674 $ 2,708 $ 2,749 $ 2,766 $ 2,758 $ 2,750 $ 2,742

% Change 4.9% 5.0% 5.1% 5.1% 5.4% 5.5% 5.6% 5.9% 6.1% 6.0% 6.0% 6.0%

Historic Cost to Own Relagve to Rent

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

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1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 15 1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 1/ 15 20 1/ 16 20 17

Orange County median home price since January 1988

$800,000

OC Housing News info@ochousingnews.com

Median Resale

Median Rent

Projecgon

Cost to Own

January 2016

23 of 58

Rental Parity Historic Value

$700,000

$600,000

$500,000

$400,000

$300,000

$200,000

$100,000

Orange County median rent and monthly cost of ownership since January 1988

$4,500 Historic Cost to Own Relagve to Rent

$4,000

$3,500

$3,000

$2,500

$2,000

$1,500

$1,000

$500

Shevy Akason 877-409-8515

Resale $/SF Year-over-Year Percentage Change: Orange County since January 1989 40% 35% 30%

Appreciagon rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

25% 20% 15% 10% 5%

Normal and sustainable

0% -5%

Falling/Correcgng

-10% -15%

-20%

Rental $/SF Year-over-Year Percentage Change: Orange County since January 1989 14% 12%

Rental rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

10% 8% 6%

Normal and sustainable

4% 2% Weak

0% -2%

Falling/Correcgng

-4% -6%

-8%

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Historic Median Home Price Relative to Rental Parity: Orange County since January 1988 Historic Norm

Stable period between housing bubbles from 1993-1999 establishes historic norm.

Discount or Premium

Value Relagve to Rental Parity

91.0% 84.0% 77.0% 70.0% 63.0% 56.0% 49.0% 42.0% 35.0% 28.0% 21.0% 14.0% 7.0% 0.0% -7.0% -14.0% -21.0% -28.0% -35.0%

OCHN Market Timing System Rating: Orange County since January 1988 10 9

Values 7-10: Undervalued Market: Strong Buy Recommendagon

8 7 6

Values 4-6: Neutral Market, Weak Buy Recommendagon

5 4 3

Values 1-3: InďŹ&#x201A;ated or Weak Market: Consider Selling. Do not Buy.

2 1

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1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 15 1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 15

Cash Investor Capitalization Rate: Orange County since January 1988 Capitalizagon Rate

OC Housing News info@ochousingnews.com Mortgage Interest Rate

12.0%

10.0%

8.0%

6.0%

4.0%

2.0%

0.0%

Financed Investor Cash-on-Cash Return: Orange County since January 1988

15.0%

10.0%

5.0%

0.0%

-5.0%

-10.0%

-15.0%

-20.0%

-25.0%

January 2016

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Market Performance and Trends: Orange County and Major Cities and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Aliso Viejo

$ 506,200

3.0%

$ 357

4.3%

$ 2,507

$ 2,269

$ (238)

4.8%

Anaheim

$ 470,600

5.5%

$ 319

5.2%

$ 2,183

$ 2,093

$ (90)

4.5%

Anaheim Hills

$ 627,700

5.0%

$ 337

3.4%

$ 2,583

$ 2,796

$ 213

4.0%

Brea

$ 625,300

4.9%

$ 340

7.8%

$ 2,561

$ 2,803

$ 242

3.9%

Buena Park

$ 475,900

6.8%

$ 333

3.8%

$ 2,303

$ 2,128

$ (175)

4.6%

Corona Del Mar

$ 1,528,300

14.2%

$ 1,106

0.5%

$ 4,071

$ 6,615

$ 2,543

2.6%

Costa Mesa

$ 686,700

8.6%

$ 458

5.9%

$ 2,802

$ 3,051

$ 249

3.9%

Coto De Caza

$ 1,019,200

3.6%

$ 343

3.8%

$ 3,584

$ 4,523

$ 939

3.4%

Cypress

$ 543,600

8.2%

$ 352

1.0%

$ 2,533

$ 2,430

$ (103)

4.5%

Dana Point

$ 801,100

9.1%

$ 545

6.5%

$ 2,584

$ 3,553

$ 969

3.1%

Fountain Valley

$ 668,300

6.5%

$ 362

4.1%

$ 2,794

$ 2,985

$ 191

4.0%

Fullerton

$ 524,400

5.4%

$ 342

6.5%

$ 2,519

$ 2,311

$ (209)

4.6%

Garden Grove

$ 490,200

5.4%

$ 336

4.3%

$ 2,006

$ 2,176

$ 170

3.9%

Huntington Beach

$ 678,500

6.2%

$ 439

4.8%

$ 2,718

$ 3,019

$ 301

3.8%

Irvine

$ 712,800

3.7%

$ 433

3.3%

$ 3,006

$ 3,201

$ 196

4.0%

La Habra

$ 471,800

7.5%

$ 324

5.5%

$ 1,801

$ 2,068

$ 268

3.7%

La Palma

$ 615,200

2.5%

$ 311

0.5%

$ 2,628

$ 2,751

$ 122

4.1%

Ladera Ranch

$ 630,500

3.2%

$ 329

2.7%

$ 2,907

$ 2,828

$ (79)

4.4%

Laguna Beach

$ 1,671,100

4.8%

$ 1,051

6.0%

$ 3,571

$ 7,305

$ 3,734

2.1%

Laguna Hills

$ 600,500

2.9%

$ 344

5.0%

$ 2,539

$ 2,585

$ 46

4.1%

Laguna Niguel

$ 719,300

2.9%

$ 388

4.2%

$ 2,757

$ 3,211

$ 453

3.7%

Laguna Woods

$ 228,900

4.5%

$ 230

9.0%

$ 1,731

$ 1,023

$ (708)

7.3%

Lake Forest

$ 575,100

5.2%

$ 342

1.4%

$ 2,490

$ 2,560

$ 70

4.2%

Mission Viejo

$ 620,000

5.3%

$ 352

3.0%

$ 2,693

$ 2,761

$ 68

4.2%

Newport Beach

$ 1,513,600

6.2%

$ 789

9.7%

$ 3,522

$ 6,715

$ 3,193

2.2%

Newport Coast

$ 2,923,400

0.6%

$ 761

3.4%

$ 4,456

$ 12,835

$ 8,379

1.5%

North Tustin

$ 867,800

5.2%

$ 362

5.5%

$ 1,539

$ 4,341

$ 2,803

1.7%

Orange

$ 581,700

6.5%

$ 352

9.3%

$ 2,588

$ 2,609

$ 22

4.3%

Placentia

$ 579,800

5.5%

$ 316

8.9%

$ 2,397

$ 2,548

$ 151

4.0%

Rancho Santa Margarita

$ 563,700

5.1%

$ 343

7.4%

$ 2,453

$ 2,518

$ 66

4.2%

San Clemente

$ 837,300

7.1%

$ 433

9.8%

$ 2,622

$ 3,701

$ 1,079

3.0%

San Juan Capistrano

$ 719,600

3.7%

$ 351

1.6%

$ 2,756

$ 3,183

$ 427

3.7%

Santa Ana

$ 416,600

8.6%

$ 325

5.9%

$ 1,999

$ 1,862

$ (137)

4.6%

Tustin

$ 560,200

6.3%

$ 375

6.5%

$ 2,456

$ 2,506

$ 51

4.2%

Westminster

$ 556,500

7.8%

$ 372

-3.4%

$ 2,482

$ 2,491

$ 9

4.3%

Yorba Linda

$ 726,200

4.0%

$ 352

1.1%

$ 3,069

$ 3,230

$ 161

4.1%

OC Housing News info@ochousingnews.com

27 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: Orange County and Major Cities and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Anaheim 92801

$ 426,200

5.2%

$ 320

4.8%

$ 2,033

$ 1,909

$ (123)

4.6%

Anaheim 92802

$ 457,500

4.1%

$ 316

3.7%

$ 2,081

$ 2,051

$ (30)

4.4%

Anaheim 92804

$ 482,800

9.6%

$ 318

8.1%

$ 2,032

$ 2,146

$ 115

4.0%

Anaheim 92805

$ 450,600

8.0%

$ 331

2.4%

$ 2,238

$ 1,991

$ (246)

4.8%

Anaheim 92806

$ 525,200

6.2%

$ 302

5.0%

$ 2,357

$ 2,318

$ (39)

4.3%

Anaheim 92807

$ 514,000

5.4%

$ 331

5.8%

$ 1,693

$ 2,279

$ 587

3.2%

Fullerton 92831

$ 558,000

7.1%

$ 346

4.1%

$ 2,481

$ 2,442

$ (39)

4.3%

Fullerton 92832

$ 436,100

7.4%

$ 352

7.6%

$ 2,287

$ 1,960

$ (327)

5.0%

Fullerton 92833

$ 515,000

4.4%

$ 342

5.7%

$ 2,450

$ 2,257

$ (193)

4.6%

Fullerton 92835

$ 606,000

5.0%

$ 335

5.2%

$ 3,103

$ 2,728

$ (375)

4.9%

Garden Grove 92840

$ 453,200

2.7%

$ 321

3.2%

$ 1,852

$ 2,009

$ 157

3.9%

Garden Grove 92841

$ 520,600

8.6%

$ 341

11.6%

$ 2,231

$ 2,309

$ 78

4.1%

Huntington Beach 92646 $ 574,200

4.6%

$ 404

3.3%

$ 2,841

$ 2,535

$ (307)

4.8%

Huntington Beach 92647 $ 640,000

5.3%

$ 412

2.4%

$ 2,650

$ 2,857

$ 207

4.0%

Huntington Beach 92648

$ 812,400

6.8%

$ 462

6.1%

$ 3,252

$ 3,618

$ 366

3.8%

Huntington Beach 92649

$ 709,000

6.7%

$ 479

4.7%

$ 2,465

$ 3,143

$ 679

3.3%

Newport Beach 92660

$ 1,552,200

6.6%

$ 678

3.9%

$ 3,611

$ 6,899

$ 3,288

2.2%

Newport Beach 92663

$ 1,348,500

5.2%

$ 808

11.8%

$ 3,574

$ 5,943

$ 2,368

2.5%

Orange 92867

$ 551,400

4.5%

$ 343

8.1%

$ 2,249

$ 2,527

$ 279

3.9%

Orange 92869

$ 579,800

5.5%

$ 316

8.9%

$ 2,397

$ 2,548

$ 151

4.0%

OC Housing News info@ochousingnews.com

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Shevy Akason 877-409-8515

Market Timing Rating and Valuations: Orange County and Major Cities and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-9.6%

-4.7%

-4.9%

$ 487,100

-3.5%

4.5%

-8.0%

$ 627,700

$ 576,300

7.5%

22.2%

-14.7%

$ 625,300

$ 571,300

9.5%

14.9%

-5.4%

Buena Park

$ 475,900

$ 513,700

-8.0%

-1.5%

-6.5%

Corona Del Mar

$ 1,528,300

$ 908,300

59.6%

82.6%

-23.0%

Costa Mesa

$ 686,700

$ 625,100

8.3%

13.8%

-5.5%

Coto De Caza

$ 1,019,200

$ 799,600

27.3%

54.3%

-27.0%

Cypress

$ 543,600

$ 565,100

-3.0%

17.6%

-20.6%

Dana Point

$ 801,100

$ 576,400

34.1%

26.8%

7.3%

Fountain Valley

$ 668,300

$ 623,400

9.0%

21.0%

-12.0%

Fullerton

$ 524,400

$ 562,100

-8.2%

-4.4%

-3.8%

Garden Grove

$ 490,200

$ 447,400

8.9%

5.3%

3.6%

Huntington Beach

$ 678,500

$ 606,400

10.7%

15.8%

-5.1%

$ 712,800

$ 670,500

6.7%

13.2%

-6.5%

$ 471,800

$ 401,700

15.5%

5.5%

10.0%

$ 615,200

$ 586,400

5.6%

21.4%

-15.8%

$ 630,500

$ 648,600

-4.7%

5.5%

-10.2%

$ 1,671,100

$ 796,700

107.3%

59.5%

47.8%

$ 600,500

$ 566,400

1.1%

27.8%

-26.7%

$ 719,300

$ 615,100

14.0%

18.7%

-4.7%

$ 228,900

$ 386,000

-40.9%

-10.4%

-30.5%

$ 575,100

$ 555,500

2.1%

8.8%

-6.7%

$ 620,000

$ 600,800

2.6%

11.6%

-9.1%

$ 1,513,600

$ 785,800

88.3%

75.3%

13.0%

$ 2,923,400

$ 994,000

181.3%

105.3%

76.0%

$ 867,800

$ 343,300

151.1%

46.4%

104.7%

$ 581,700

$ 577,300

-0.2%

-9.6%

9.4%

$ 579,800

$ 534,800

3.4%

-1.3%

4.7%

$ 563,700

$ 547,200

0.0%

2.2%

-2.1%

$ 837,300

$ 585,000

40.6%

28.9%

11.7%

$ 719,600

$ 614,700

14.8%

22.7%

-7.8%

Santa Ana

$ 416,600

$ 445,900

-8.2%

-1.4%

-6.8%

Tustin

$ 560,200

$ 547,800

2.2%

6.3%

-4.0%

Westminster

$ 556,500

$ 553,700

4.1%

5.8%

-1.7%

Yorba Linda

$ 726,200

$ 684,800

4.9%

23.6%

-18.7%

Rating

Median

Aliso Viejo

$ 506,200

$ 559,300

Anaheim

$ 470,600

Anaheim Hills

Brea

City

Irvine La Habra La Palma Ladera Ranch Laguna Beach Laguna Hills Laguna Niguel Laguna Woods Lake Forest Mission Viejo Newport Beach Newport Coast North Tustin Orange Placentia Rancho Santa Margarita San Clemente San Juan Capistrano

OC Housing News info@ochousingnews.com

29 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: Orange County and Major Cities and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-5.6%

-16.5%

11.0%

$ 464,200

-2.4%

5.7%

-8.1%

$ 482,800

$ 453,200

2.8%

-10.0%

12.8%

$ 450,600

$ 455,700

-1.5%

-12.7%

11.2%

Anaheim 92806

$ 525,200

$ 525,900

-1.5%

0.4%

-1.9%

Anaheim 92807

$ 514,000

$ 377,600

34.6%

-10.9%

45.6%

Fullerton 92831

$ 558,000

$ 544,700

4.1%

-1.9%

6.0%

Fullerton 92832

$ 436,100

$ 510,200

-15.0%

-12.7%

-2.3%

Fullerton 92833

$ 515,000

$ 546,600

-8.3%

2.3%

-10.6%

Fullerton 92835

$ 606,000

$ 692,300

-9.8%

47.3%

-57.1%

Garden Grove 92840

$ 453,200

$ 413,100

8.0%

9.6%

-1.6%

Garden Grove 92841

$ 520,600

$ 497,700

3.6%

18.2%

-14.6%

Huntington Beach 92646

$ 574,200

$ 633,900

-10.8%

10.2%

-21.0%

Huntington Beach 92647

$ 640,000

$ 591,200

7.8%

13.1%

-5.3%

$ 812,400

$ 725,500

13.4%

56.1%

-42.7%

$ 709,000

$ 549,800

27.9%

21.8%

6.1%

$ 1,552,200

$ 805,600

90.6%

83.2%

7.4%

$ 1,348,500

$ 797,300

68.6%

36.5%

32.1%

$ 551,400

$ 501,700

9.3%

0.6%

8.7%

$ 579,800

$ 534,800

3.4%

-1.3%

4.7%

Rating

Median

Anaheim 92801

$ 426,200

$ 453,400

Anaheim 92802

$ 457,500

Anaheim 92804

Anaheim 92805

City

Huntington Beach 92648 Huntington Beach 92649 Newport Beach 92660 Newport Beach 92663 Orange 92867 Orange 92869

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Riverside County Housing Market News Historically, properties in this market sell at a 18.5% discount. Today's discount is 23.5%. This market is 4.9% undervalued. Median home price is $306,900 with a rental parity value of $397,300. This market's discount is $90,400. Monthly payment affordability has been improving over the last 3 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $172/SF to $173/SF. Resale prices have been rising for 2 month(s). Over the last 12 months, resale prices rose 4.9% indicating a longer term upward price trend. Median rental rates declined $4 last month from $1,785 to $1,781. The current capitalization rate (rent/price) is 5.6%. Rents have been rising for 12 month(s). Price momentum signals rising rents over the next three months. Market rating = 8

Median Home Price and Rental Parity trailing twelve months Rating 7 8 8 8 8 8 8 8 8 8 8 8

Median Rental Parity Historic Value $500,000 $ 289,600 $ 389,100 $ 316,987 $ 290,500 $ 389,100 $ 316,987 $400,000 $ 292,300 $ 386,200 $ 314,625 $ 294,800 $ 392,900 $ 320,083 $300,000 $ 298,100 $ 388,600 $ 316,580 $200,000 $ 301,000 $ 385,700 $ 314,217 $ 305,100 $ 388,000 $ 316,091 $100,000 $ 306,300 $ 398,400 $ 324,563 $ 306,500 $ 401,800 $ 327,333 $- $ 306,100 $ 406,200 $ 330,918 $ 307,400 $ 399,300 $ 325,297 $ 306,900 $ 397,300 $ 323,667

Median

Rental Parity

Historic Value

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Resale $/SF and year-over-year percentage change trailing twelve months Âą Typ. Value -5.6% -6.5% -6.5% -6.3% -5.7% -4.9% -3.7% -3.6% -4.2% -5.3% -5.3% -4.9%

$/SF $ 165 $ 164 $ 166 $ 168 $ 169 $ 170 $ 171 $ 172 $ 172 $ 172 $ 172 $ 173

% Change 7.4% 5.4% 4.7% 4.2% 3.9% 3.6% 3.6% 3.4% 3.9% 4.3% 4.7% 4.9%

$172 $172 $172 $173 $171 $172 $170 $169 $168 $170 $166 $165 $164 $165 $175

$160 $155 $150 1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

-0.1853326

Rental rate and year-over-year percentage change trailing twelve months

OC Housing News info@ochousingnews.com

2 ,70 0 $1 ,71 7 $1 ,73 3 $1 ,75 8 $1 ,77 5 $1 ,78 6 $1 ,78 6 $1 ,78 6 $1 ,78 1 $1

,69

Own Historic Cost to Own Relative to Rent $2,000 $ 1,287 $ 1,378 $ 1,270 $ 1,378 $1,800 $ 1,267 $ 1,378 $1,600 $ 1,273 $ 1,385 $ 1,291 $ 1,399 $1,400 $ 1,315 $ 1,412 $ 1,351 $ 1,432 $1,200 $ 1,366 $ 1,446 Rent Own $1,000 $ 1,370 $ 1,455 $ 1,357 $ 1,455 $ 1,361 $ 1,455 $ 1,365 $ 1,451 ,69

Rent $ 1,692 $ 1,692 $ 1,692 $ 1,700 $ 1,717 $ 1,733 $ 1,758 $ 1,775 $ 1,786 $ 1,786 $ 1,786 $ 1,781

% Change 2.2% 2.2% 2.4% 2.4% 2.7% 2.9% 3.4% 3.7% 4.0% 4.2% 4.6% 5.0%

Historic Cost to Own Relagve to Rent

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

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1/ 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 1/ 15 20 1/ 16 20 17 1/ 19 1/ 88 19 1/ 89 19 1/ 90 19 1/ 91 19 1/ 92 19 1/ 93 19 1/ 94 19 1/ 95 19 1/ 96 19 1/ 97 19 1/ 98 19 1/ 99 20 1/ 00 20 1/ 01 20 1/ 02 20 1/ 03 20 1/ 04 20 1/ 05 20 1/ 06 20 1/ 07 20 1/ 08 20 1/ 09 20 1/ 10 20 1/ 11 20 1/ 12 20 1/ 13 20 1/ 14 20 1/ 15 20 1/ 16 20 17

Riverside County median home price since January 1988

$450,000

OC Housing News info@ochousingnews.com

Median Resale

Median Rent

Rental Parity

Cost to Own

January 2016

32 of 58

Historic Value Projecgon

$400,000

$350,000

$300,000

$250,000

$200,000

$150,000

$100,000

$50,000

Riverside County median rent and monthly cost of ownership since January 1988

$3,000 Historic Cost to Own Relagve to Rent

$2,500

$2,000

$1,500

$1,000

$500

Shevy Akason 877-409-8515

Resale $/SF Year-over-Year Percentage Change: Riverside County since January 1989 Appreciagon rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

Normal and sustainable

Falling/Correcgng

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% -35% -40% -45% -50%

Rental $/SF Year-over-Year Percentage Change: Riverside County since January 1989 18% 16%

Rental rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

14% 12% 10% 8% 6%

Normal and sustainable

4% 2%

Weak

0% -2%

Falling/Correcgng

-4% -6%

-8%

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January 2016

Shevy Akason 877-409-8515

Historic Median Home Price Relative to Rental Parity: Riverside County since January 1988 Historic Norm

Stable period between housing bubbles from 1993-1999 establishes historic norm.

Discount or Premium

Value Relagve to Rental Parity

112.0% 105.0% 98.0% 91.0% 84.0% 77.0% 70.0% 63.0% 56.0% 49.0% 42.0% 35.0% 28.0% 21.0% 14.0% 7.0% 0.0% -7.0% -14.0% -21.0% -28.0% -35.0% -42.0% -49.0% -56.0% -63.0%

OCHN Market Timing System Rating: Riverside County since January 1988 10 9 8

Values 7-10: Undervalued Market: Strong Buy Recommendagon

7 6 5

Values 4-6: Neutral Market, Weak Buy Recommendagon

4 3

Values 1-3: InďŹ&#x201A;ated or Weak Market: Consider Selling. Do not Buy.

2 1

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January 2016

Shevy Akason 877-409-8515

Cash Investor Capitalization Rate: Riverside County since January 1988 Capitalizagon Rate

OC Housing News info@ochousingnews.com Mortgage Interest Rate

12.0%

10.0%

8.0%

6.0%

4.0%

2.0%

0.0%

Financed Investor Cash-on-Cash Return: Riverside County since January 1988

30.0%

25.0%

20.0%

15.0%

10.0%

5.0%

0.0%

-5.0%

-10.0%

-15.0%

-20.0%

-25.0%

January 2016

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Shevy Akason 877-409-8515

Market Performance and Trends: Riverside County, Major Cities, and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Banning

$ 202,600

3.3%

$ 138

6.7%

$ 1,174

$ 905

$ (270)

5.6%

Beaumont

$ 272,000

6.7%

$ 138

0.3%

$ 1,698

$ 1,209

$ (489)

6.0%

Cathedral City

$ 249,100

2.6%

$ 150

1.4%

$ 1,592

$ 1,129

$ (464)

6.1%

Corona

$ 406,500

5.5%

$ 217

4.4%

$ 2,145

$ 1,812

$ (333)

5.1%

Desert Hot Springs

$ 160,500

12.6%

$ 104

8.1%

$ 967

$ 711

$ (256)

5.8%

Hemet

$ 194,100

6.2%

$ 116

8.0%

$ 1,204

$ 870

$ (334)

6.0%

Indio

$ 271,100

6.1%

$ 148

2.0%

$ 1,615

$ 1,201

$ (414)

5.7%

La Quinta

$ 376,100

7.5%

$ 212

2.8%

$ 1,481

$ 1,646

$ 165

3.8%

Lake Elsinore

$ 302,000

9.3%

$ 154

7.2%

$ 1,735

$ 1,341

$ (394)

5.5%

Menifee

$ 306,500

7.3%

$ 151

5.7%

$ 1,606

$ 1,365

$ (241)

5.0%

Moreno Valley

$ 262,000

7.6%

$ 156

3.6%

$ 1,556

$ 1,163

$ (393)

5.7%

Murrieta

$ 356,100

7.3%

$ 166

5.2%

$ 1,839

$ 1,590

$ (249)

5.0%

Norco

$ 462,600

6.7%

$ 248

-1.7%

$ 2,195

$ 2,047

$ (148)

4.6%

Palm Desert

$ 308,500

5.5%

$ 189

8.6%

$ 1,557

$ 1,378

$ (179)

4.8%

Palm Springs

$ 323,100

2.8%

$ 233

5.9%

$ 1,375

$ 1,405

$ 30

4.1%

Perris

$ 246,300

7.4%

$ 143

1.6%

$ 1,443

$ 1,085

$ (359)

5.6%

Rancho Mirage

$ 394,100

-4.8%

$ 198

-6.1%

$ 2,013

$ 1,776

$ (237)

4.9%

Riverside

$ 330,400

5.5%

$ 200

2.1%

$ 1,748

$ 1,456

$ (292)

5.1%

San Jacinto

$ 216,300

7.2%

$ 116

5.7%

$ 1,434

$ 966

$ (467)

6.4%

Sun City

$ 197,600

2.2%

$ 141

0.1%

$ 1,076

$ 872

$ (205)

5.2%

Temecula

$ 403,700

5.0%

$ 192

4.5%

$ 2,003

$ 1,789

$ (214)

4.8%

Wildomar

$ 308,200

10.9%

$ 156

7.1%

$ 1,785

$ 1,380

$ (405)

5.6%

Banning 92220

$ 202,600

3.3%

$ 142

6.4%

$ 1,174

$ 905

$ (270)

5.6%

Beaumont 92223

$ 271,900

6.4%

$ 137

0.3%

$ 1,698

$ 1,208

$ (490)

6.0%

Canyon Lake 92587

$ 350,800

1.4%

$ 185

2.3%

$ 1,909

$ 1,557

$ (352)

5.2%

Cathedral City 92234

$ 245,900

2.4%

$ 150

1.5%

$ 1,600

$ 1,115

$ (486)

6.2%

Corona 92880

$ 415,600

2.8%

$ 207

11.8%

$ 2,283

$ 1,851

$ (433)

5.3%

Corona 92881

$ 442,400

3.6%

$ 218

2.6%

$ 2,228

$ 2,002

$ (226)

4.8%

Corona 92882

$ 402,200

9.7%

$ 237

2.4%

$ 2,228

$ 1,800

$ (428)

5.3%

Corona 92883

$ 409,500

3.7%

$ 198

2.6%

$ 2,225

$ 1,829

$ (396)

5.2%

Desert Hot Springs 92240 $ 159,900

12.2%

$ 103

10.6%

$ 1,004

$ 712

$ (292)

6.0%

Hemet 92544

$ 201,000

7.0%

$ 120

5.9%

$ 1,214

$ 898

$ (316)

5.8%

Hemet 92545

$ 219,700

7.8%

$ 119

7.2%

$ 1,315

$ 978

$ (336)

5.7%

Indio 92201

$ 229,800

8.5%

$ 145

-1.4%

$ 1,433

$ 1,048

$ (385)

6.0%

Indio 92203

$ 289,300

2.8%

$ 151

2.5%

$ 1,759

$ 1,283

$ (477)

5.8%

La Quinta 92253

$ 376,900

7.5%

$ 212

2.8%

$ 1,481

$ 1,649

$ 168

3.8%

OC Housing News info@ochousingnews.com

36 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: Riverside County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Lake Elsinore 92530

$ 279,600

8.2%

$ 161

8.5%

$ 1,393

$ 1,233

$ (159)

4.8%

Menifee 92584

$ 317,600

7.0%

$ 151

2.9%

$ 1,757

$ 1,416

$ (341)

5.3%

Moreno Valley 92551

$ 250,800

7.2%

$ 151

10.0%

$ 1,388

$ 1,115

$ (273)

5.3%

Moreno Valley 92553

$ 239,500

8.9%

$ 167

5.7%

$ 1,416

$ 1,059

$ (357)

5.7%

Moreno Valley 92555

$ 301,800

2.3%

$ 135

2.8%

$ 1,700

$ 1,336

$ (364)

5.4%

Moreno Valley 92557

$ 276,200

11.5%

$ 165

0.6%

$ 1,532

$ 1,226

$ (306)

5.3%

Murrieta 92562

$ 358,700

7.0%

$ 179

4.5%

$ 1,892

$ 1,606

$ (285)

5.1%

Murrieta 92563

$ 353,200

7.9%

$ 155

6.3%

$ 1,790

$ 1,564

$ (226)

4.9%

Norco 92860

$ 462,600

6.7%

$ 248

-1.7%

$ 2,195

$ 2,047

$ (148)

4.6%

Palm Desert 92211

$ 307,400

4.5%

$ 182

2.5%

$ 1,659

$ 1,381

$ (279)

5.2%

Palm Desert 92260

$ 307,700

6.9%

$ 198

16.4%

$ 1,475

$ 1,382

$ (92)

4.6%

Palm Springs 92262

$ 330,500

1.8%

$ 242

12.0%

$ 1,618

$ 1,444

$ (173)

4.7%

Palm Springs 92264

$ 315,900

3.4%

$ 222

-2.2%

$ 1,434

$ 1,404

$ (29)

4.4%

Perris 92571

$ 247,700

3.7%

$ 142

2.5%

$ 1,456

$ 1,090

$ (366)

5.6%

Rancho Mirage 92270

$ 394,100

-4.9%

$ 198

-6.0%

$ 2,013

$ 1,776

$ (237)

4.9%

Riverside 92503

$ 330,900

5.8%

$ 203

1.1%

$ 1,731

$ 1,448

$ (283)

5.0%

Riverside 92504

$ 297,400

8.8%

$ 205

8.6%

$ 1,559

$ 1,319

$ (240)

5.0%

Riverside 92506

$ 361,800

7.2%

$ 219

8.1%

$ 1,629

$ 1,620

$ (8)

4.3%

Riverside 92507

$ 280,700

5.1%

$ 195

3.6%

$ 1,375

$ 1,233

$ (142)

4.7%

Riverside 92508

$ 414,800

3.6%

$ 176

-3.7%

$ 1,973

$ 1,838

$ (135)

4.6%

San Jacinto 92583

$ 201,200

9.1%

$ 122

5.7%

$ 1,302

$ 905

$ (397)

6.2%

Sun City 92586

$ 183,200

1.1%

$ 139

5.2%

$ 1,085

$ 814

$ (270)

5.7%

Temecula 92592

$ 403,600

5.5%

$ 193

3.9%

$ 1,993

$ 1,789

$ (204)

4.7%

Wildomar 92595

$ 309,300

11.2%

$ 156

6.5%

$ 1,740

$ 1,384

$ (356)

5.4%

OC Housing News info@ochousingnews.com

37 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: Riverside County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-24.1%

-14.6%

-9.5%

$ 378,800

-28.7%

-31.6%

2.9%

$ 249,100

$ 355,200

-27.7%

-18.0%

-9.7%

$ 406,500

$ 478,400

-15.7%

-19.4%

3.7%

Desert Hot Springs

$ 160,500

$ 215,600

-25.1%

-26.9%

1.8%

Hemet

$ 194,100

$ 268,500

-27.5%

-20.2%

-7.3%

Indio

$ 271,100

$ 360,300

-24.6%

-31.2%

6.6%

La Quinta

$ 376,100

$ 330,300

10.5%

-3.5%

14.1%

Lake Elsinore

$ 302,000

$ 387,000

-23.7%

-27.4%

3.7%

Menifee

$ 306,500

$ 358,200

-15.1%

-7.0%

-8.1%

Moreno Valley

$ 262,000

$ 347,200

-25.2%

-18.4%

-6.8%

Murrieta

$ 356,100

$ 410,200

-14.0%

-3.9%

-10.1%

Norco

$ 462,600

$ 489,700

-5.1%

-7.6%

2.5%

Palm Desert

$ 308,500

$ 347,400

-11.0%

14.9%

-25.9%

$ 323,100

$ 306,700

2.6%

-11.1%

13.7%

$ 246,300

$ 322,000

-25.2%

-26.8%

1.6%

$ 394,100

$ 449,000

-11.8%

21.3%

-33.1%

$ 330,400

$ 390,000

-16.5%

-20.4%

3.9%

$ 216,300

$ 319,900

-31.8%

-23.5%

-8.2%

$ 197,600

$ 240,100

-17.2%

-4.0%

-13.2%

$ 403,700

$ 446,800

-12.3%

-9.2%

-3.1%

$ 308,200

$ 398,100

-23.0%

-5.5%

-17.5%

$ 202,600

$ 262,000

-24.1%

-13.9%

-10.2%

$ 271,900

$ 378,800

-28.7%

-33.6%

4.9%

$ 350,800

$ 425,900

-18.7%

5.9%

-24.5%

$ 245,900

$ 357,000

-29.1%

-20.1%

-9.1%

$ 415,600

$ 509,400

-18.5%

-19.9%

1.4%

$ 442,400

$ 497,000

-10.3%

-10.2%

-0.1%

$ 402,200

$ 496,900

-17.3%

-10.2%

-7.1%

$ 409,500

$ 496,400

-17.8%

-22.0%

4.2%

$ 159,900

$ 224,000

-30.5%

-19.1%

-11.3%

$ 201,000

$ 270,800

-24.5%

-1.9%

-22.7%

Hemet 92545

$ 219,700

$ 293,300

-25.6%

-20.5%

-5.1%

Indio 92201

$ 229,800

$ 319,600

-27.2%

-30.5%

3.3%

Indio 92203

$ 289,300

$ 392,500

-27.1%

-4.1%

-23.0%

La Quinta 92253

$ 376,900

$ 330,300

10.7%

-8.2%

18.9%

Rating

Median

Banning

$ 202,600

$ 397,300

Beaumont

$ 272,000

Cathedral City

Corona

City

Palm Springs Perris Rancho Mirage Riverside San Jacinto Sun City Temecula Wildomar Banning 92220 Beaumont 92223 Canyon Lake 92587 Cathedral City 92234 Corona 92880 Corona 92881 Corona 92882 Corona 92883 Desert Hot Springs 92240 Hemet 92544

OC Housing News info@ochousingnews.com

38 of 58

January 2016

Shevy Akason 877-409-8515

Market Timing Rating and Valuations: Riverside County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-15.9%

-18.2%

2.3%

$ 391,900

-18.9%

-10.1%

-8.8%

$ 250,800

$ 309,500

-20.6%

-14.6%

-6.0%

$ 239,500

$ 315,800

-25.9%

-22.3%

-3.6%

Moreno Valley 92555

$ 301,800

$ 379,200

-20.6%

-5.7%

-14.9%

Moreno Valley 92557

$ 276,200

$ 341,800

-19.8%

-11.0%

-8.8%

Murrieta 92562

$ 358,700

$ 422,000

-15.1%

0.3%

-15.3%

Murrieta 92563

$ 353,200

$ 399,200

-13.3%

-6.3%

-7.1%

Norco 92860

$ 462,600

$ 489,700

-5.1%

-7.6%

2.5%

Palm Desert 92211

$ 307,400

$ 370,200

-16.4%

22.5%

-38.9%

Palm Desert 92260

$ 307,700

$ 328,900

-4.4%

9.8%

-14.3%

Palm Springs 92262

$ 330,500

$ 360,800

-8.7%

-17.9%

9.2%

Palm Springs 92264

$ 315,900

$ 319,800

-4.2%

-1.7%

-2.4%

Perris 92571

$ 247,700

$ 324,800

-25.5%

-29.5%

4.0%

Rancho Mirage 92270

$ 394,100

$ 449,000

-11.8%

8.0%

-19.8%

Riverside 92503

$ 330,900

$ 386,000

-17.3%

-23.0%

5.7%

Riverside 92504

$ 297,400

$ 347,700

-14.5%

-24.5%

10.0%

Riverside 92506

$ 361,800

$ 363,300

-2.1%

0.0%

-2.2%

Riverside 92507

$ 280,700

$ 306,700

-11.2%

-18.5%

7.3%

Riverside 92508

$ 414,800

$ 440,100

-6.3%

-16.9%

10.5%

San Jacinto 92583

$ 201,200

$ 290,500

-31.1%

-17.7%

-13.5%

Sun City 92586

$ 183,200

$ 242,000

-23.3%

-4.1%

-19.1%

Temecula 92592

$ 403,600

$ 444,700

-10.5%

-10.4%

-0.1%

$ 309,300

$ 388,200

-21.6%

-5.5%

-16.1%

Rating

Median

Lake Elsinore 92530

$ 279,600

$ 310,600

Menifee 92584

$ 317,600

Moreno Valley 92551

Moreno Valley 92553

City

Wildomar 92595

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San Bernardino County Housing Market News Historically, properties in this market sell at a 25.7% discount. Today's discount is 32.2%. This market is 6.6% undervalued. Median home price is $280,200 with a rental parity value of $406,600. This market's discount is $126,400. Monthly payment affordability has been worsening over the last 1 month(s). Momentum suggests unchanging affordability. Resale prices on a $/SF basis increased from $184/SF to $184/SF. Resale prices have been rising for 1 month(s). Over the last 12 months, resale prices rose 7.0% indicating a longer term upward price trend. Median rental rates declined $23 last month from $1,845 to $1,822. The current capitalization rate (rent/price) is 6.2%. Rents have been rising for 12 month(s). Price momentum signals rising rents over the next three months. Market rating = 8

Median Home Price and Rental Parity trailing twelve months Rating 9 9 9 9 9 9 8 7 8 7 8 8

Median Rental Parity Historic Value $500,000 $ 258,700 $ 400,900 $ 297,987 $ 258,200 $ 402,800 $ 299,399 $400,000 $ 261,100 $ 400,100 $ 297,392 $ 263,500 $ 407,700 $ 303,041 $300,000 $ 267,300 $ 407,200 $ 302,670 $200,000 $ 268,800 $ 406,900 $ 302,447 $ 274,600 $ 407,100 $ 302,595 $100,000 $ 278,000 $ 417,600 $ 310,400 $ 278,800 $ 418,700 $ 311,218 $- $ 281,000 $ 422,300 $ 313,893 $ 280,100 $ 412,800 $ 306,832 $ 280,200 $ 406,600 $ 302,224

Median

Rental Parity

Historic Value

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Resale $/SF and year-over-year percentage change trailing twelve months Âą Typ. Value -8.7% -9.5% -9.7% -9.7% -9.2% -8.9% -7.9% -7.6% -7.5% -7.8% -7.3% -6.6%

$/SF $ 171 $ 171 $ 172 $ 173 $ 174 $ 176 $ 179 $ 181 $ 183 $ 184 $ 184 $ 184

% Change 5.8% 4.5% 4.6% 4.4% 3.9% 3.8% 6.3% 7.0% 6.9% 7.1% 6.6% 7.0%

$190

$184 $183 $184 $184 $181 $179 $180 $176 $174 $175 $171 $171 $172 $173 $185

$170 $165 $160 1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

-0.2567051

OC Housing News info@ochousingnews.com

3 ,82

,84 $1

,85

,86

,84

,82

,79

,76

,75

Own Historic Cost to Own Relative to Rent $2,000 $ 1,148 $ 1,296 $1,800 $ 1,134 $ 1,302 $ 1,130 $ 1,303 $1,600 $ 1,135 $ 1,311 $1,400 $ 1,155 $ 1,337 $ 1,176 $ 1,359 $1,200 $ 1,211 $ 1,371 $1,000 $ 1,230 $ 1,383 Rent Own $800 $ 1,241 $ 1,383 $ 1,238 $ 1,380 $ 1,242 $ 1,372 $ 1,248 $ 1,355 ,74

Rent $ 1,743 $ 1,752 $ 1,752 $ 1,764 $ 1,799 $ 1,828 $ 1,845 $ 1,861 $ 1,861 $ 1,857 $ 1,846 $ 1,823

% Change 4.5% 4.7% 4.7% 4.8% 5.1% 5.0% 5.0% 4.8% 4.8% 4.5% 4.1% 4.0%

Historic Cost to Own Relagve to Rent

1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Rental rate and year-over-year percentage change trailing twelve months

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January 2016

Shevy Akason 877-409-8515

D 12 ate /1 12 988 /1 12 989 /1 12 990 /1 12 991 /1 12 992 /1 12 993 /1 12 994 /1 12 995 /1 12 996 /1 12 997 /1 12 998 /1 12 999 /2 12 000 /2 12 001 /2 12 002 /2 12 003 /2 12 004 /2 12 005 /2 12 006 /2 12 007 /2 12 008 /2 12 009 /2 12 010 /2 12 011 /2 12 012 /2 12 013 /2 12 014 /2 12 015 /2 01 6

San Bernardino County median home price since January 1988

$450,000

OC Housing News info@ochousingnews.com

Median Resale

Median Rent

Rental Parity

Cost to Own

January 2016

41 of 58

Historic Value Projecgon

$400,000

$350,000

$300,000

$250,000

$200,000

$150,000

$100,000

$50,000

San Bernardino County median rent and monthly cost of ownership since January 1988 $2,500 Historic Cost to Own Relagve to Rent

$2,000

$1,500

$1,000

$500

Shevy Akason 877-409-8515

Resale $/SF Year-over-Year Percentage Change: San Bernardino County since January 1989

Appreciagon rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

Normal and sustainable

Falling/Correcgng

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% -35% -40% -45% -50%

Rental $/SF Year-over-Year Percentage Change: San Bernardino County since January 1989 18% 16%

Rental rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

14% 12% 10% 8%

Normal and sustainable

6% 4% 2%

Weak

0% -2%

Falling/Correcgng

-4% -6%

-8%

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January 2016

Shevy Akason 877-409-8515

Historic Median Home Price Relative to Rental Parity: San Bernardino County since January 1988 84.0% 77.0% 70.0% 63.0% 56.0% 49.0% 42.0% 35.0% 28.0% 21.0% 14.0% 7.0% 0.0% -7.0% -14.0% -21.0% -28.0% -35.0% -42.0% -49.0% -56.0% -63.0% -70.0%

Historic Norm

Stable period between housing bubbles from 1993-1999 establishes historic norm.

Discount or Premium

Value Relagve to Rental Parity

OCHN Market Timing System Rating: San Bernardino County since January 1988 10 9 8

Values 7-10: Undervalued Market: Strong Buy Recommendagon

7 6

Values 4-6: Neutral Market, Weak Buy Recommendagon

5 4 3

Values 1-3: InďŹ&#x201A;ated or Weak Market: Consider Selling. Do not Buy.

2 1

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January 2016

Shevy Akason 877-409-8515

Cash Investor Capitalization Rate: San Bernardino County since January 1988 Capitalizagon Rate

OC Housing News info@ochousingnews.com Mortgage Interest Rate

14.0%

12.0%

10.0%

8.0%

6.0%

4.0%

2.0%

0.0%

Financed Investor Cash-on-Cash Return: San Bernardino County since January 1988

50.0%

40.0%

30.0%

20.0%

10.0%

0.0%

-10.0%

-20.0%

-30.0%

January 2016

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Shevy Akason 877-409-8515

Market Performance and Trends: San Bernardino County, Major Cities, and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Adelanto

$ 155,800

6.7%

$ 98

11.7%

$ 1,056

$ 695

$ (361)

6.5%

Apple Valley

$ 193,200

1.7%

$ 110

3.5%

$ 968

$ 860

$ (107)

4.8%

Chino

$ 417,100

5.6%

$ 238

5.3%

$ 2,106

$ 1,832

$ (274)

4.8%

Chino Hills

$ 533,000

6.0%

$ 308

-0.2%

$ 2,289

$ 2,397

$ 108

4.1%

Colton

$ 222,600

8.6%

$ 173

3.2%

$ 1,242

$ 981

$ (261)

5.4%

Fontana

$ 331,600

6.9%

$ 195

0.6%

$ 2,041

$ 1,477

$ (564)

5.9%

Hesperia

$ 214,300

4.6%

$ 116

3.4%

$ 1,240

$ 953

$ (287)

5.6%

Highland

$ 274,900

12.7%

$ 167

-0.4%

$ 1,670

$ 1,196

$ (475)

5.8%

Joshua Tree

$ 121,300

6.9%

$ 95

-5.9%

$ 824

$ 531

$ (294)

6.5%

Loma Linda

$ 332,500

0.0%

$ 153

-0.1%

$ 1,620

$ 1,479

$ (141)

4.7%

Montclair

$ 345,800

8.1%

$ 244

0.1%

$ 1,656

$ 1,535

$ (121)

4.6%

Ontario

$ 341,500

10.0%

$ 245

0.6%

$ 1,803

$ 1,509

$ (293)

5.1%

Rancho Cucamonga

$ 420,700

5.0%

$ 248

0.8%

$ 2,108

$ 1,864

$ (245)

4.8%

Redlands

$ 330,800

8.3%

$ 210

4.9%

$ 1,711

$ 1,482

$ (229)

5.0%

Rialto

$ 280,800

8.2%

$ 180

5.7%

$ 1,536

$ 1,245

$ (291)

5.3%

San Bernardino (City)

$ 214,100

10.2%

$ 159

2.1%

$ 1,366

$ 943

$ (423)

6.1%

Twentynine Palms

$ 71,200

-7.4%

$ 68

-13.3%

$ 828

$ 319

$ (509)

11.2%

Upland

$ 466,600

4.6%

$ 262

10.2%

$ 2,040

$ 2,119

$ 78

4.2%

Victorville

$ 195,100

7.1%

$ 106

3.7%

$ 1,274

$ 873

$ (402)

6.3%

Yucaipa

$ 310,000

7.2%

$ 177

8.8%

$ 1,337

$ 1,371

$ 34

4.1%

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45 of 58

January 2016

Shevy Akason 877-409-8515

Market Performance and Trends: San Bernardino County, Major Cities, and Zips Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

City Chino 91710

$ 420,400

6.0%

$ 246

6.7%

$ 2,047

$ 1,843

$ (205)

4.7%

Fontana 92336

$ 388,300

5.4%

$ 190

0.8%

$ 2,172

$ 1,723

$ (449)

5.4%

Fontana 92337

$ 316,800

2.9%

$ 195

-2.0%

$ 1,740

$ 1,416

$ (324)

5.3%

Grand Terrace 92313

$ 286,200

11.7%

$ 187

6.4%

$ 1,520

$ 1,284

$ (235)

5.1%

Hesperia 92344

$ 225,900

1.7%

$ 106

4.1%

$ 1,290

$ 1,014

$ (276)

5.5%

Mentone 92359

$ 321,200

6.6%

$ 156

1.0%

$ 1,195

$ 1,409

$ 214

3.6%

Ontario 91762

$ 340,600

10.3%

$ 244

-3.8%

$ 1,471

$ 1,501

$ 30

4.1%

Rancho Cucamonga 91701

$ 437,800

5.0%

$ 252

1.3%

$ 2,036

$ 1,957

$ (79)

4.5%

Rancho Cucamonga 91730

$ 353,800

7.2%

$ 247

2.5%

$ 1,890

$ 1,585

$ (306)

5.1%

Rancho Cucamonga 91737

$ 467,500

-0.6%

$ 252

3.1%

$ 2,116

$ 2,094

$ (21)

4.3%

Rancho Cucamonga 91739

$ 570,100

4.2%

$ 246

-2.6%

$ 2,626

$ 2,510

$ (116)

4.4%

Redlands 92373

$ 384,600

12.5%

$ 235

2.1%

$ 1,929

$ 1,743

$ (187)

4.8%

Rialto 92376

$ 263,300

7.7%

$ 177

3.7%

$ 1,478

$ 1,174

$ (304)

5.4%

Rialto 92377

$ 336,100

10.2%

$ 190

14.2%

$ 1,822

$ 1,479

$ (343)

5.2%

San Bernardino (City) 92405 $ 200,100

13.6%

$ 159

10.9%

$ 1,221

$ 890

$ (331)

5.9%

San Bernardino (City) 92410 $ 161,900

5.0%

$ 149

6.4%

$ 1,010

$ 707

$ (302)

6.0%

Upland 91784

$ 579,900

4.7%

$ 258

7.4%

$ 2,344

$ 2,602

$ 257

3.9%

Upland 91786

$ 390,500

5.6%

$ 267

10.4%

$ 1,824

$ 1,766

$ (58)

4.5%

Victorville 92392

$ 199,200

9.0%

$ 105

4.5%

$ 1,246

$ 893

$ (354)

6.0%

Victorville 92394

$ 187,300

2.0%

$ 101

1.6%

$ 1,268

$ 840

$ (428)

6.5%

Victorville 92395

$ 191,000

9.4%

$ 113

4.0%

$ 1,205

$ 846

$ (359)

6.1%

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January 2016

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Market Timing Rating and Valuations: San Bernardino County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-33.6%

-3.8%

-29.8%

$ 215,900

-11.0%

9.7%

-20.7%

$ 417,100

$ 469,700

-13.3%

-9.0%

-4.3%

$ 533,000

$ 510,600

4.5%

6.6%

-2.1%

Colton

$ 222,600

$ 277,000

-21.2%

-10.7%

-10.5%

Fontana

$ 331,600

$ 455,300

-28.0%

-33.7%

5.7%

Hesperia

$ 214,300

$ 276,700

-24.0%

-21.2%

-2.8%

Highland

$ 274,900

$ 372,600

-28.6%

-11.9%

-16.7%

Joshua Tree

$ 121,300

$ 183,900

-35.4%

-20.0%

-15.4%

Loma Linda

$ 332,500

$ 361,400

-8.7%

34.8%

-43.5%

Montclair

$ 345,800

$ 369,500

-5.6%

-6.0%

0.4%

Ontario

$ 341,500

$ 402,100

-15.5%

-3.9%

-11.6%

Rancho Cucamonga

$ 420,700

$ 470,300

-12.1%

-7.6%

-4.4%

Redlands

$ 330,800

$ 381,700

-12.0%

-0.2%

-11.8%

$ 280,800

$ 342,700

-19.8%

-22.8%

3.0%

$ 214,100

$ 304,700

-28.8%

-28.5%

-0.3%

$ 71,200

$ 184,700

-60.6%

-28.7%

-31.9%

$ 466,600

$ 455,200

2.7%

6.9%

-4.1%

$ 195,100

$ 284,200

-30.8%

-6.4%

-24.4%

$ 310,000

$ 298,200

0.2%

-9.2%

9.4%

Rating

Median

Adelanto

$ 155,800

$ 235,600

Apple Valley

$ 193,200

Chino

Chino Hills

City

Rialto San Bernardino (City) Twentynine Palms Upland Victorville Yucaipa

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January 2016

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Market Timing Rating and Valuations: San Bernardino County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-10.9%

-7.4%

-3.4%

$ 484,600

-20.6%

-33.2%

12.6%

$ 316,800

$ 388,200

-18.8%

-20.6%

1.8%

$ 286,200

$ 339,000

-17.0%

-7.2%

-9.8%

Hesperia 92344

$ 225,900

$ 287,700

-21.5%

-13.1%

-8.4%

Mentone 92359

$ 321,200

$ 266,600

15.6%

28.1%

-12.4%

Ontario 91762

$ 340,600

$ 328,200

2.0%

8.6%

-6.7%

Rancho Cucamonga 91701

$ 437,800

$ 454,200

-2.7%

3.1%

-5.8%

Rancho Cucamonga 91730

$ 353,800

$ 421,700

-17.3%

-14.6%

-2.7%

Rancho Cucamonga 91737

$ 467,500

$ 472,000

-0.7%

23.9%

-24.6%

Rancho Cucamonga 91739

$ 570,100

$ 585,800

-4.4%

-17.3%

12.9%

Redlands 92373

$ 384,600

$ 430,400

-5.2%

20.5%

-25.7%

Rialto 92376

$ 263,300

$ 329,800

-21.9%

-22.1%

0.3%

Rialto 92377

$ 336,100

$ 406,400

-19.0%

-8.2%

-10.8%

San Bernardino (City) 92405

$ 200,100

$ 272,300

-26.2%

-18.6%

-7.7%

San Bernardino (City) 92410

$ 161,900

$ 225,200

-28.5%

-1.5%

-27.0%

Upland 91784

$ 579,900

$ 523,000

8.7%

10.9%

-2.2%

Upland 91786

$ 390,500

$ 406,900

-3.4%

8.5%

-11.9%

Victorville 92392

$ 199,200

$ 278,000

-28.8%

3.8%

-32.6%

Victorville 92394

$ 187,300

$ 282,900

-32.9%

-14.4%

-18.5%

Victorville 92395

$ 191,000

$ 268,700

-30.0%

-9.8%

-20.2%

Rating

Median

Chino 91710

$ 420,400

$ 456,700

Fontana 92336

$ 388,300

Fontana 92337

Grand Terrace 92313

City

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48 of 58

January 2016

Shevy Akason 877-409-8515

Ventura County Housing Market News Historically, properties in this market sell at a 15.8% premium. Today's discount is 12.2%. This market is 28.0% undervalued. Median home price is $518,300 with a rental parity value of $583,000. This market's discount is $64,700. Monthly payment affordability has been improving over the last 9 month(s). Momentum suggests improving affordability. Resale prices on a $/SF basis increased from $320/SF to $322/SF. Resale prices have been rising for 1 month(s). Over the last 12 months, resale prices rose 8.9% indicating a longer term upward price trend. Median rental rates declined $32 last month from $2,645 to $2,613. The current capitalization rate (rent/price) is 4.8%. Rents have been rising for 12 month(s). Price momentum signals rising rents over the next three months. Market rating = 10

Median Home Price and Rental Parity trailing twelve months Rating 10 10 10 10 10 10 10 10 10 10 10 10

Median Rental Parity Historic Value $800,000 $ 501,900 $ 558,500 $ 646,955 $ 506,100 $ 557,900 $ 646,260 $600,000 $ 507,900 $ 557,600 $ 645,913 $ 513,800 $ 572,200 $ 662,825 $400,000 $ 515,900 $ 577,200 $ 668,617 $ 522,600 $ 588,800 $ 682,054 $200,000 $ 523,400 $ 583,900 $ 676,378 $ 523,400 $ 597,600 $ 692,248 $ 523,100 $ 591,500 $ 685,182 $- $ 521,900 $ 601,800 $ 697,113 $ 519,400 $ 591,600 $ 685,297 $ 518,300 $ 583,000 $ 675,335

Median

Rental Parity

Historic Value

1/ 20 1 2/ 5 20 1 3/ 5 20 1 4/ 5 20 1 5/ 5 20 1 6/ 5 20 1 7/ 5 20 1 8/ 5 20 1 9/ 5 20 10 15 /2 0 11 15 /2 0 12 15 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Resale $/SF and year-over-year percentage change trailing twelve months Âą Typ. Value -26.0% -25.8% -25.3% -25.3% -25.8% -26.5% -26.6% -27.2% -27.3% -28.3% -28.2% -28.0%

$/SF $ 296 $ 297 $ 302 $ 307 $ 312 $ 317 $ 319 $ 320 $ 321 $ 321 $ 320 $ 322

% Change 2.3% 2.3% 3.8% 4.9% 6.0% 6.9% 6.5% 6.7% 7.0% 7.1% 7.3% 8.9%

$320 $321 $321 $320 $322 $319 $317

$325 $320

$312

$315

$307

$310

$302

$305

$300 $296 $297 $295 $290 1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

1/0/00

OC Housing News info@ochousingnews.com

,61 $2

,64 $2

,64

,62

,66

,64

0 ,64 6 $2

,55

,47

,44

,42

Own Historic Cost to Own Relative to Rent $3,400 $ 2,215 $ 2,813 $ 2,199 $ 2,810 $2,900 $ 2,202 $ 2,829 $ 2,216 $ 2,868 $2,400 $ 2,242 $ 2,954 $ 2,283 $ 3,065 $1,900 $ 2,333 $ 3,065 $ 2,350 $ 3,084 Rent Own $1,400 $ 2,343 $ 3,045 $ 2,317 $ 3,064 $ 2,314 $ 3,064 $ 2,313 $ 3,027 ,42

Rent $ 2,428 $ 2,426 $ 2,443 $ 2,476 $ 2,550 $ 2,646 $ 2,646 $ 2,663 $ 2,629 $ 2,646 $ 2,646 $ 2,613

% Change 8.2% 6.9% 7.0% 6.8% 6.8% 7.1% 7.3% 6.8% 4.9% 4.7% 4.0% 3.8%

Historic Cost to Own Relagve to Rent

1/ 20 15 2/ 20 15 3/ 20 15 4/ 20 15 5/ 20 15 6/ 20 15 7/ 20 15 8/ 20 15 9/ 20 1 10 5 /2 01 11 5 /2 01 12 5 /2 01 5

Date 1/2015 2/2015 3/2015 4/2015 5/2015 6/2015 7/2015 8/2015 9/2015 10/2015 11/2015 12/2015

Rental rate and year-over-year percentage change trailing twelve months

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Ventura County median home price since January 1988

$800,000

OC Housing News info@ochousingnews.com

Median Resale

Median Rent

Rental Parity

Cost to Own

January 2016

50 of 58

Historic Value Projecgon

$700,000

$600,000

$500,000

$400,000

$300,000

$200,000

$100,000

Ventura County median rent and monthly cost of ownership since January 1988

$4,000 Historic Cost to Own Relagve to Rent

$3,500

$3,000

$2,500

$2,000

$1,500

$1,000

$500

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Resale $/SF Year-over-Year Percentage Change: Ventura County since January 1989 Appreciagon rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

Normal and sustainable

Falling/Correcgng

50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% -35% -40% -45% -50%

Rental $/SF Year-over-Year Percentage Change: Ventura County since January 1989 18% 16%

Rental rates in excess of 7% are not sustainable. Long periods of excessive appreciagon lead to a crash.

14% 12% 10% 8% 6%

Normal and sustainable

4% 2%

Weak

0% -2%

Falling/Correcgng

-4% -6%

-8%

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Historic Median Home Price Relative to Rental Parity: Ventura County since January 1988 126.0% 119.0% 112.0% 105.0% 98.0% 91.0% 84.0% 77.0% 70.0% 63.0% 56.0% 49.0% 42.0% 35.0% 28.0% 21.0% 14.0% 7.0% 0.0% -7.0% -14.0% -21.0% -28.0% -35.0% -42.0%

Historic Norm

Stable period between housing bubbles from 1993-1999 establishes historic norm.

Discount or Premium

Value Relagve to Rental Parity

OCHN Market Timing System Rating: Ventura County since January 1988 10 9

Values 7-10: Undervalued Market: Strong Buy Recommendagon

8 7 6

Values 4-6: Neutral Market, Weak Buy Recommendagon

5 4 3

Values 1-3: InďŹ&#x201A;ated or Weak Market: Consider Selling. Do not Buy.

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1/2017

1/2016

1/2015

1/2014

1/2013

1/2012

1/2011

1/2010

1/2009

1/2008

1/2006

1/2007

1/2005

1/2004

1/2003

1/2002

1/2001

1/2000

1/1999

1/1998

1/1997

1/1996

1/1995

1/1994

1/1993

1/1992

1/1991

1/1990

1/1989

1/1988

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Cash Investor Capitalization Rate: Ventura County since January 1988 Capitalizagon Rate

OC Housing News info@ochousingnews.com Mortgage Interest Rate

12.0%

10.0%

8.0%

6.0%

4.0%

2.0%

0.0%

Financed Investor Cash-on-Cash Return: Ventura County since January 1988

15.0%

10.0%

5.0%

0.0%

-5.0%

-10.0%

-15.0%

-20.0%

-25.0%

-30.0%

-35.0%

January 2016

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Market Performance and Trends: Ventura County, Major Cities, and Zips City

Median Resale $

Resale % Rent % Change YoY Resale $/SF Change YoY

Median Rent $

Cost of Ownership

Ownership Prem./Disc.

Cap Rate

Camarillo

$ 530,000

8.5%

$ 311

2.6%

$ 2,517

$ 2,363

$ (154)

4.6%

Moorpark

$ 607,800

8.7%

$ 284

1.6%

$ 2,495

$ 2,688

$ 193

3.9%

Newbury Park

$ 635,300

4.5%

$ 321

2.7%

$ 2,784

$ 2,837

$ 52

4.2%

Oak Park

$ 616,100

4.0%

$ 366

7.1%

$ 2,529

$ 2,778

$ 249

3.9%

Oxnard

$ 421,700

13.0%

$ 299

18.0%

$ 2,139

$ 1,891

$ (248)

4.9%

Port Hueneme

$ 339,300

-3.4%

$ 262

6.1%

$ 1,531

$ 1,492

$ (39)

4.3%

Simi Valley

$ 496,900

10.0%

$ 296

1.0%

$ 2,358

$ 2,218

$ (140)

4.6%

Thousand Oaks

$ 621,000

1.8%

$ 343

7.2%

$ 2,675

$ 2,772

$ 97

4.1%

Ventura

$ 500,300

11.5%

$ 356

0.3%

$ 2,003

$ 2,203

$ 200

3.8%

Westlake Village

$ 780,200

13.8%

$ 395

9.1%

$ 2,678

$ 3,524

$ 847

3.3%

Camarillo 93010

$ 524,500

5.4%

$ 310

7.7%

$ 2,340

$ 2,360

$ 20

4.3%

Newbury Park 91320

$ 634,200

4.6%

$ 322

3.1%

$ 2,784

$ 2,832

$ 48

4.2%

Oxnard 93033

$ 367,300

15.7%

$ 398

-8.3%

$ 1,916

$ 1,599

$ (318)

5.0%

Oxnard 93035

$ 537,800

12.5%

$ 221

16.7%

$ 2,237

$ 2,415

$ 178

4.0%

Port Hueneme 93041

$ 329,500

-3.5%

$ 262

6.0%

$ 1,531

$ 1,456

$ (75)

4.5%

Simi Valley 93063

$ 491,700

10.0%

$ 293

0.9%

$ 2,621

$ 2,197

$ (423)

5.1%

Simi Valley 93065

$ 500,300

9.2%

$ 298

7.3%

$ 2,290

$ 2,241

$ (49)

4.4%

Thousand Oaks 91360

$ 592,100

-1.8%

$ 333

6.4%

$ 2,530

$ 2,640

$ 110

4.1%

Thousand Oaks 91362

$ 670,300

9.0%

$ 349

6.1%

$ 2,895

$ 3,008

$ 113

4.1%

Ventura 93004

$ 501,800

20.8%

$ 297

7.3%

$ 2,391

$ 2,223

$ (168)

4.6%

Westlake Village 91361

$ 781,700

9.9%

$ 412

12.7%

$ 2,913

$ 3,469

$ 556

3.6%

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Market Timing Rating and Valuations: Ventura County, Major Cities, and Zips % Over/Under Rental Parity Rental Parity

Historic Premium

% Over/Under Historic Prem.

-6.2%

26.7%

-32.9%

$ 556,500

4.8%

17.6%

-12.9%

$ 635,300

$ 621,100

-0.4%

14.3%

-14.8%

$ 616,100

$ 564,300

6.6%

37.8%

-31.2%

Oxnard

$ 421,700

$ 477,100

-12.8%

12.2%

-24.9%

Port Hueneme

$ 339,300

$ 341,500

-1.3%

28.7%

-29.9%

Simi Valley

$ 496,900

$ 526,100

-9.1%

3.1%

-12.1%

Thousand Oaks

$ 621,000

$ 596,800

1.3%

26.5%

-25.2%

Ventura

$ 500,300

$ 446,800

12.4%

33.5%

-21.1%

Westlake Village

$ 780,200

$ 597,400

36.3%

58.7%

-22.5%

Camarillo 93010

$ 524,500

$ 522,100

1.4%

29.5%

-28.1%

Newbury Park 91320

$ 634,200

$ 621,100

-0.6%

14.3%

-14.9%

Oxnard 93033

$ 367,300

$ 427,500

-16.4%

27.3%

-43.7%

Oxnard 93035

$ 537,800

$ 499,000

5.1%

34.5%

-29.4%

$ 329,500

$ 341,500

-3.7%

28.6%

-32.3%

$ 491,700

$ 584,600

-16.2%

7.4%

-23.6%

$ 500,300

$ 510,900

-2.6%

1.9%

-4.4%

$ 592,100

$ 564,400

1.3%

19.8%

-18.6%

$ 670,300

$ 645,800

1.1%

45.4%

-44.3%

$ 501,800

$ 533,400

-7.1%

32.2%

-39.3%

$ 781,700

$ 649,800

15.0%

66.5%

-51.5%

Rating

Median

Camarillo

$ 530,000

$ 561,500

Moorpark

$ 607,800

Newbury Park

Oak Park

City

Port Hueneme 93041 Simi Valley 93063 Simi Valley 93065 Thousand Oaks 91360 Thousand Oaks 91362 Ventura 93004 Westlake Village 91361

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OC Housing News Monthly Market Report

OC Housing News monthly market report and newsleler provides a clear picture of the health of the housing market. Both buyers and sellers ﬁnd the informagon on locagon, valuagon, and price trends, gmely and relevant to their decision to buy or sell a home. The OC Housing News report answers the most important quesgons to buyers and sellers: (1) Where should I look for bargains, (2) Are current prices over or under valued in my area, and (3) what direcgon are prices headed, up or down in my area? Armed with beler informagon, people make beler decisions. There is too much informagon about housing ﬂoagng around the Internet, and most of it is bad. It is easy to take data and create prely charts and graphs that don't provide any useful informagon someone might use to make a good decision. The OC Housing News has eliminated the useless informagon and disglled the market down to three key pieces of informagon: (1) resale value relagve to rent, (2) yearly change in resale prices, and (3) yearly changes in rents.

Using the OCHN Monthly Report

When most people are considering rengng or buying a home, they already have narrowed their choices for locagon. Most want to be near work, but they may also want to be near family, friends, or a pargcular school district. The table of contents on the front page of the OCHN monthly report organizes the reports by county so people can narrow their search to the area they are most interested in. I suggest searchers start with the overview of the county as this provides important data on the broader real estate market.

InterpreJng an OCHN Monthly Market Report

The first page of a county report breaks down into four parts: The news overview, Median Home Price and Rental Parity trailing twelve months, Resale $/SF and year-over-year percentage change trailing twelve months, Rental rate and year-over-year percentage change trailing twelve months. NEWS OVERVIEW The news overview provides concise descripgons of the facts and condigons in the market. It states whether the market trades at a premium or a discount to rental parity and provides a measure of it. A market trading at a premium to rental parity is more desirable, so buyers are willing to pay more than rental parity to live there. A market trading at a discount is less desirable, and people must be mogvated to live there by saving versus rengng. The news overview measures the current premium or discount, compares it to the historic premium or discount, and states whether the market is currently overvalued or undervalued. This is an important measure of future financial performance. MEDIAN HOME PRICE AND RENTAL PARITY TRAILING TWELVE MONTHS For those who want the bolom line without all the analysis and detail, the market ragng is the first row of the first secgon of data. The ragng encapsulates all the condigons of the market into one figure. Suffice to say that a ragng of 10 is good and a ragng of 1 is bad. Buyers can rest assured that a highly rated property or market is a good financial buy. The chart displays three lines that reveal much about the market. The first two lines to note are the parallel green and orange lines, rental parity (green) and historic value (orange). As mengoned previously, some markets trade at a discount and some at a premium to rental parity. If the orange line (historic value) is above the green line (rental parity), the market is a premium market. If the orange line (historic value) is below the green line (rental parity), the market is a discount market. The larger the gap, the greater the premium or discount is. The third line ploled against these two parallel lines is the median resale price for the area. This line reveals whether the market is currently trading at a premium or discount to rental parity and historic value. The more important of these relagonships is between median resale price and historic value. Over gme, the market has shown a tendency toward trading at historic value. If it trades above for a while, over gme it will revert back to this value. That may happen either by an extended period of lille or no appreciagon or an outright decline in prices. If the market trades below its historic value, it’s likely to see a rebound back to this value in the future. The best markets are those trading at a steep discount to its historic value.

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RESALE $/SF AND YEAR-OVER-YEAR PERCENTAGE CHANGE TRAILING TWELVE MONTHS

Since the historic value is so important, the ﬁrst column in next secgon displays the premium or discount from historic value over the last year. The second column and the chart shows the dollars-per-square-foot resale price in the market. The line on the chart visually shows the general direcgon of prices, and the third column shows the actual percentage change. It’s important to note that the percentage change in resale prices can be misleading. Most buyers foolishly extrapolate short-term movements in market prices will congnue forever, mogvagng them to buy at what is oren the worst possible gme. In reality, buying in a declining market when valuagons are low is generally the best gme to buy because sellers are mogvated and supply is abundant. Buying in an appreciagng market may not be wise, pargcularly if valuagon signals a bubble. In short, valuagon is much more important that price movement.

RENTAL RATE AND YEAR-OVER-YEAR PERCENTAGE CHANGE TRAILING TWELVE MONTHS

The final table and chart on the page is similar to the first grouping; it displays three lines, two of which are parallel and show current rent and the historic cost of ownership relagve to rent, and the third line is the current cost of ownership. The relagonships are similar, the charts will look similar, and the interpretagons are the same. This method of looking at the data is more revealing to those who like to focus on monthly costs rather than purchase price. It reveals how affordable properges are relagve to monthly rent, which is what rental parity analysis is all about. The first column of data shows the rate of rent growth over the last year, and the next two columns show the cost of rengng and the cost of owning during the same period.

HISTORIC MARKET DATA CHARTS

The next page of the report shows two charts: County median home price since January 1988, and County median rent and monthly cost of ownership since January 1988. These charts are designed to put current circumstances in historic context. They answer quesgons like, “How volagle are prices?” and “How does today’s pricing compare to the ﬂuctuagons of the past?” and “How much danger is there in buying today?” The chart above displays LA County through early 2014, but the palern is similar across California. With the green line for rental parity and the orange line for historic value, it’s easy to tell when the market is fairly valued, over valued, or under valued.

HISTORIC VALUATION

The next page in the report shows two charts: Historic Median Home Price Relagve to Rental Parity: County since January 1988, and OCHN Market Timing System Ragng: Los Angeles County since January 1988. The chart on historic valuagon shows, at a glance, how close the market trades to its historic norm. The benchmark period is shown in green, and the degree of market volaglity can be inferred from the scale to the ler. For example, LA County traded for as much as 42% below rental parity and 84% above it during the 26-year period shown. Needless to say, that is very volagle, and people who bought during the overvalued periods endured painful price correcgons when their houses were worth far less than they paid. 57 of 58 OC Housing News Shevy Akason January 2016 info@ochousingnews.com 877-409-8515

OCHN RATING SYSTEM CHART

The market gming ragng system mechanically idengﬁes both good and buy dimes to buy based on valuagon, resale price change, and rental rate change. Since 1988, in LA County, it was wrong in its recommendagon in only a single two-year period from late 1999 to mid 2001 as the local economy gpped into a recession. The system correctly idengﬁed the housing bubbles from the late 80s and the mid 00s as well as the buying opportuniges in the mid 90s and early 10s.

MARKET PERFORMANCE AND TRENDS TABLE

The market performance trends table provides a tabular summary of the current market condigons by city and zip within the county. It displays the same performance metrics detailed in previous secgons including: median resale price, resale percentage change year-over-year, resale dollars-per-square-foot, rent percentage change year-over-year, median rent, monthly cost of ownership, the ownership premium or discount based on rent, and the capitalizagon rate. For how to interpret these numbers see previous secgons for more detail. To use these tables effecgvely, users should have a short list of potengal ciges they would consider living in. These tables allow the user to search alphabegcally for city data. It’s suggested to consult both the city data and the zip code data that oren provides more detail, pargcularly in larger ciges that may have significant neighborhood variability. For example, in Canyon Country, the two zip codes demonstrate that 91387 is more desirable than 91351 because the former costs more to own than to rent whereas the later costs more to rent than to own. By compiling and comparing data from the various ciges in a users search area, they can determine how much they would have to spend to either own or rent in each area, suggesgng how desirable and affordable each area is. This will also allow users to eliminate areas they may not be able to afford.

MARKET TIMING RATING AND VALUATIONS TABLE The next table shows the ragngs and valuagons for each city and zip within the county. This informagon is most valuable for those hungng for bargain properges or fearful of overpaying in an overvalued market. In the example above Artesia is a prime market for buying a home. The market usually trades at a 12.9% premium to rental parity, but at the gme of this report, it was trading at a 16.9% discount, making it 29.6% undervalued! A buyer in this market should experience above average appreciagon as the market rebounds to its historic norm. This table helps buyers spot those markets where the best deals are to be found. Helping buyers target their search to where deals are best is the primary value of this report.

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