Kurfiss Sotheby's International Realty | Buy&Sell

BUY&SELL Home Sales Data For The Greater Philadelphia Real Estate Market - 2013 Mid Year Report

GATESHEAD FARM Kurfiss.com/6280150

$8,875,000

A LETTER FROM THE CHAIRMAN Signs of improvement are appearing throughout the greater Philadelphia real estate market. As you’ll see in this summary of market activity for this area through June 30, 2013, inventory levels are dropping almost across the board in Bucks, Chester, Delaware, Montgomery and Philadelphia counties, and in all price categories.

Not surprisingly, though, some market segments are performing better than others. Though there is still a large supply of luxury homes for sale - properties priced at $1,000,000 or higher - that market has started to sell, particularly on the Main Line. At the opposite end of the market, trends are looking even more positive.

In almost every southeastern Pennsylvania area, the supply of homes priced at $700,000 or less is falling below six months of inventory. As long as buyers continue to be active in this price band, it is likely that home prices will strengthen at a faster pace for these properties. In addition, mortgage rates remain low, which is adding support to this part of the market.

We’re confident that 2013 home sales will close well ahead of the 2012 levels. Our report for the entire year will be available in March 2014. In the meantime, for a more precise look at conditions in your area, please contact our Philadelphia or Bucks County offices. An associate will be happy to analyze activity in your neighborhood or ZIP code and help you understand real estate trends in your area.

Warm Regards,

Donald D. Pearson Chairman Kurfiss Sotheby’s International Realty

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TABLE OF CONTENTS • The Year To Date at a Glance...........................................Pg 4 • The Market in Bucks County............................................Pg 8 • The Market in Chester County.......................................Pg 14 • The Market in Delaware County....................................Pg 20 • The Market in Montgomery County............................Pg 26 • The Market in Philadelphia County...............................Pg 32 Buy & Sell is produced twice each year by Kurfiss Sotheby’s International Realty. All rights reserved. Data in the report are prepared by Charles “Chuck” Cosgrove. Cosgrove is the founder of the Mr. Chips School of Real Estate, Inc., formerly in Doylestown, Pa. He has been active in real estate since 1991 and is licensed in Pennsylvania, New Jersey and North Carolina. Cosgrove presents continuing education courses with an emphasis on market information, technology and student involvement. Data are from Trend, the multiple-listing service for 28,000+ real estate professionals in Pennsylvania, New Jersey and Delaware.

Questions about the data in this report can be emailed to: info@kurfiss.com Property featured on the cover: HONEYSTONE Kurfiss.com/6177853 $5,750,000

BUCKS COUNTY OFFICE 6038 Lower York Road, New Hope, Pennsylvania 18938

Office: 215.794.3227

PHILADELPHIA/MAIN LINE OFFICE 226 W. Rittenhouse Square, Suite 102, Philadelphia, Pennsylvania 19103

Office: 215.735.2225

VIEW DISTINCTIVE PROPERTIES IN EVERY PRICE RANGE AT KURFISS.COM

ROCKWOOD FARM

Kurfiss.com/5709082

$9,650,000

KURFISS.COM 3

THE YEAR TO DATE AT A GLANCE

LONGWOOD

Kurfiss.com/6123184

$3,150,000

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2012 PHILADELPHIA-AREA HOME SALES Total Volume In Billions Of Dollars From 2003 - 2012

$0.0

PHILADELPHIA-AREA HOME PRICES Through June 30th, 2004 - 2013 Includes Bucks, Berks, Chester, Delaware, Montgomery and Philadelphia Counties

After years of little or no growth in average home prices, prices rebounded 4.1% in the first half of 2013 in southeastern Pennsylvania, a greater jump than even the tax credit of 2010 created. It’s movement in the right direction for home sellers, though given the severity of home-price decreases and stagnation between 2008 and 2012, it will take more time for prices to reach even 2007 levels.

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THE PENTHOUSE AT 101 WALNUT Kurfiss.com/6103546

$3,495,000

PHILADELPHIA-AREA SUPPLY OF HOMES

N U M B E R

In Months By Price Range Includes Bucks, Chester, Delaware, Montgomery and Philadelphia Counties

O F M O N T H S

ANNUALIZED “ABSORPTION RATE”

0.0

$

$

$

<$

Notable drops in inventory have occurred in all price ranges, and as inventory drops, average prices rise.

The decrease in inventory is particularly acute in the $300K to $700K range. Inventory remains at its lowest levels in four years, significantly lower than 2012 in all categories.

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PHILADELPHIA-AREA RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013 Includes Bucks, Berks, Chester, Delaware, Montgomery and Philadelphia Counties

Unit sales had their second straight year of strong growth, as the number of properties sold surpassed the number sold during 2010 when sales were boosted by the tax credit. The actual number of homes sold during the first half of 2013 almost equaled the number sold during the first half of 2008.

CAROUSEL FARM

Kurfiss.com/6212840

$5,500,000

KURFISS.COM 7

THE MARKET IN BUCKS COUNTY

CIRCA 1756 BANK HOME Kurfiss.com/6229946

$974,000

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CONTEMPORARY LINES

Kurfiss.com/6231374

$1,049,900

BUCKS COUNTY HOME SALES Total Volume In Millions Of Dollars Through June 30th, 2004 - 2013

0

Dollar volume in Bucks County continued its growth for the second consecutive year with $956,000,000 in residential sales in the first half of 2013, up 21% over 2012 mid-year totals and surpassing both 2010 and 2008 totals.

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BUCKS COUNTY AVERAGE HOME PRICES Through June 30th, 2004 - 2013

T H O U S A N D S

PCT

YEARS

0.7%

Annual

63.5%

00 - 13

6.5%

04 - 13

-5.4%

05 - 13

-10.9%

07 - 13

-7.8%

08 - 13

-2.4%

10 - 13

The average price of a home in Bucks County bottomed out in the first half of 2012, stabilized in the second half of the year and increased 2.8% in early 2013 compared to the first half of 2012. Though the average price has stagnated over the past few years, growth returned in 2012 and continues in 2013.

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BUCKS COUNTY SUPPLY OF HOMES

N U M B E R

In Months By Price Range ANNUALIZED “ABSORPTION RATE”

O F M O N T H S

0.0 $

$

$

<$

The supply of high-end homes (priced at $1 million or higher) dropped dramatically (though a 29-month supply can still weigh on the market). In other price ranges, inventory also declined, heading closer to “normal” levels following years of stubbornly high numbers of homes on the market.

CROSSCREEK FARM

Kurfiss.com/6280148

$6,250,000

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CLASSIC STONE COLONIAL Kurfiss.com/6254028

$1,450,000

BUCKS COUNTY RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013

Unit sales increased more than 15% from 2011-2012 and more than 18% from 2012-2013, surpassing mid-year totals from 2008 to 2012.

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BUCKS COUNTY Year 2011 2012 2013

Units 21 22 26

Average Price Median Price $1,393,714 $1,235,000 $1,750,114 $1,275,000 $1,453,014 $1,214,000

CLOSED SALES Distressed 5% 4% 0%

Over $1,000,000 From January 1 Through June 30th Of Each Year

NEW HOPE-SOLEBURY AREA Year 2011 2012 2013

Units 10 10 12

Average Price Median Price $1,371,800 $1,237,500 $1,697,750 $1,442,500 $1,610,042 $1,245,000

Distressed 0% 10% 0%

NEWTOWN AREA Year 2011 2012 2013

Units 6 8 10

Average Price Median Price $1,512,500 $1,492,500 $1,687,500 $1,195,000 $1,400,288 $1,306,250

Distressed 17% 0% 0%

DOYLESTOWN AREA Year 2011 2012 2013

Units 3 1 4

Average Price Median Price $1,408,333 $1,400,000 $1,000,000 $1,000,000 $1,113,750 $1,130,000

Distressed 0% 0% 0%

BELLA VISTA

Kurfiss.com/6265931

$1,400,000

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THE MARKET IN CHESTER COUNTY

HARMONY MOUNTAIN Kurfiss.com/6263975

$14,950,000

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EXQUISITE COUNTRY HOME Kurfiss.com/6027244

$825,000

CHESTER COUNTY HOME SALES Total Volume In Millions Of Dollars Through June 30th, 2004 - 2013

Dollar volume in Chester County continued to grow through the first half of 2013 with $983,000,000 in homes sold, surpassing totals for the first two quarters of 2010. 2013 mid-year totals were more than 22% higher than 2012 mid-year totals.

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CHESTER COUNTY AVERAGE HOME PRICES Through June 30th, 2004 - 2013

T H O U S A N D S

PCT

YEARS

0.82%

Annual

50.5%

00 - 13

7.7%

04 - 13

-1.0%

05 - 13

-10.1%

07 - 13

-8.2%

08 - 13

-0.8%

10 - 13

Chester Countyâ&#x20AC;&#x2122;s average home price increased in the first half of 2013, approaching 2010-2011 numbers. Note that this average-price indicator is still recovering from market lows.

It increased more than 3% in the first half of 2013 compared to 2012.

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CHESTER COUNTY SUPPLY OF HOMES N U M B E R

In Months By Price Range ANNUALIZED “ABSORPTION RATE”

O F M O N T H S

0.0 $

$

$

<$

Encouraged by an active market, the supply of homes priced at $1 million or more grew slightly in the last 12 months, while inventory in other price ranges fell. Notably, the supply of homes priced at $700K or less fell to “normal” levels and even became a bit thin in the first half of 2013.

GATESHEAD FARM

Kurfiss.com/6280150

$8,875,000

KURFISS.COM 17

LOWE LAND FARM Kurfiss.com/6218482

$2,750,000

CHESTER COUNTY RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013

The number of homes sold in Chester County increased more than 23% from 2011-2012 and almost 19% from 2012-2013, surpassing mid-year totals from 2008 to 2012.

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CHESTER COUNTY Year 2011 2012 2013

Units 30 30 34

Average Price Median Price $1,703,452 $1,300,000 $1,407,867 $1,200,000 $1,646,824 $1,245,000

CLOSED SALES Distressed 3% 3% 3%

Over $1,000,000 From January 1 Through June 30th Of Each Year

MALVERN AREA Year 2011 2012 2013

Units 11 9 13

Average Price Median Price $1,458,091 $1,300,000 $1,472,778 $1,250,000 $1,413,408 $1,172,500

Distressed 0% 0% 0%

MAIN LINE AREA Year 2011 2012 2013

Units 11 11 12

Average Price Median Price $1,778,369 $1,300,000 $1,252,000 $1,200,000 $1,389,978 $1,239,500

Distressed 9% 0% 8%

CHADDS FORD-WEST CHESTER AREA Year 2011 2012 2013

Units 6 5 5

Average Price Median Price $2,204,583 $2,075,000 $1,951,800 $2,075,000 $1,631,000 $1,211,000

Distressed 0% 0% 0%

PAIST FARM

Kurfiss.com/6198029

$2,950,000

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THE MARKET IN DELAWARE COUNTY

CASA PACIFICA Kurfiss.com/6260230

$4,950,000

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HONEYSTONE

Kurfiss.com/6177853

$5,750,000

DELAWARE COUNTY HOME SALES Total Volume In Millions Of Dollars Through June 30th, 2004 - 2013

0

Dollar volume in Delaware County continued to grow for the second year, up 19% over 2012 mid-year totals, surpassing 2010 totals (when the tax credit stimulated sales) and almost equaling 2008 totals. $688,000,000 worth of residential sales were closed in the first half of 2013.

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DELAWARE COUNTY AVERAGE HOME PRICES Through June 30th, 2004 - 2013

0

T H O U S A N D S

PCT

YEARS

2.28%

Annual

77.0%

00 - 13

22.5%

04 - 13

14.4%

05 - 13

0.9%

07 - 13

4.7%

08 - 13

9.0%

10 - 13

Delaware County’s average home price grew significantly in the first half of 2013, surpassing 2012’s average price by more than 5% and surpassing the mid-year prices seen during “boom” years leading up to 2008.

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DELAWARE COUNTY SUPPLY OF HOMES N U M B E R

In Months By Price Range ANNUALIZED “ABSORPTION RATE”

O F M O N T H S

0.0 $

$

$

<$

Delaware County experienced significant reductions in available housing inventory in all price ranges, though the decline in the “first-time buyer” range (under $300K) was somewhat mild. The supply of homes for sale priced at $300K or more moved toward “normal” levels.

CALIFORNIA-STYLE CONTEMPORARY Kurfiss.com/5788540

$3,225,000

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EXCEPTIONAL DESIGNER HOME Kurfiss.com/6217797

$3,500,000

DELAWARE COUNTY RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013

The number of housing units sold in Delaware County increased almost 21% from 2011-2012 and more than 13% from 2012-2013, surpassing mid-year totals from 2009-2012.

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DELAWARE COUNTY Year 2011 2012 2013

Units 30 33 37

Average Price Median Price $1,485,317 $1,350,000 $1,388,950 $1,215,000 $1,614,266 $1,360,000

CLOSED SALES Distressed 3% 0% 0%

Over $1,000,000 From January 1 Through June 30th Of Each Year

MAIN LINE AREA Year 2011 2012 2013

Units 25 28 29

Average Price Median Price $1,489,380 $1,275,000 $1,356,084 $1,207,500 $1,662,967 $1,360,000

Distressed 4% 0% 0%

NEWTOWN SQUARE AREA Year 2011 2012 2013

Units 3 4 6

Average Price Median Price $1,708,333 $1,700,000 $1,716,250 $1,675,000 $1,556,967 $1,462,500

Distressed 0% 0% 0%

COUNTRY FRENCH RETREAT Kurfiss.com/6217824

$2,500,000

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THE MARKET IN MONTGOMERY COUNTY

CLASSIC VILLANOVA ESTATE Kurfiss.com/5765204

$2,345,000

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INSPIRED BY TUSCANY

Kurfiss.com/6234112

$2,495,000

MONTGOMERY COUNTY HOME SALES Total Volume In Millions Of Dollars Through June 30th, 2004 - 2013

0

Dollar volume in Montgomery County experienced double-digit growth for the second year, up 16% over 2012 mid-year totals and reaching $1,263,000,000 of homes sold in the first half of this year, surpassing 2010 and almost matching 2008 totals.

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MONTGOMERY COUNTY AVERAGE HOME PRICES Through June 30th, 2004 - 2013

0

T H O U S A N D S

PCT

YEARS

0.96%

Annual

61.7%

00 - 13

9.0%

04 - 13

-0.8%

05 - 13

-8.3%

07 - 13

-5.1%

08 - 13

-1.0%

10 - 13

Similar to Bucks County, average homes prices in Montgomery County touched bottom in the first half of 2012, stabilized in the second half of the year, and increased 2.5% in early 2013 compared to the first half of 2012. Though average price has been inconsistent over the past few years, growth returned in 2012 and continues in 2013.

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MONTGOMERY COUNTY SUPPLY OF HOMES N U M B E R

In Months By Price Range ANNUALIZED “ABSORPTION RATE”

O F M O N T H S

0.0 $

$

$

<$

The supply of high-end inventory (homes prices at $1 million or higher) dropped by 9 months, leading all categories as inventory across the board dropped closer to “normal” levels following years of de-stabilizing, excess inventory.

PLUMB NILLY

Kurfiss.com/6131964

$2,100,000

KURFISS.COM 29

BELLINGHAMSHIRE PLACE Kurfiss.com/6275517

$1,395,000

MONTGOMERY COUNTY RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013

The number of homes sold in Montgomery County increased more than 19% from 2011-2012 and more than 13% from 2012-2013, surpassing mid-year totals from 2008-2012.

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MONTGOMERY COUNTY Year 2011 2012 2013

Units 51 53 67

Average Price Median Price $1,431,156 $1,260,000 $1,469,819 $1,275,000 $1,438,340 $1,300,000

CLOSED SALES Distressed 2% 2% 7%

Over $1,000,000 From January 1 Through June 30th Of Each Year

WHITEMARSH-MORELAND-HORSHAM AREA Year 2011 2012 2013

Units 5 4 6

Average Price Median Price $1,495,000 $1,175,000 $1,870,000 $1,665,000 $1,186,500 $1,107,500

Distressed 0% 0% 17%

BLUE BELL - GWYNEDD AREA Year 2011 2012 2013

Units 5 4 8

Average Price Median Price $1,232,000 $1,250,000 $1,918,750 $1,987,500 $1,375,094 $1,275,000

Distressed 20% 0% 13%

MAIN LINE AREA Year 2011 2012 2013

Units 40 43 51

Average Price Median Price $1,457,099 $1,299,500 $1,375,707 $1,275,000 $1,479,392 $1,325,000

Distressed 0% 2% 6%

CLASSIC DUTCH COLONIAL Kurfiss.com/6259069

$1,950,000

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THE MARKET IN PHILADELPHIA COUNTY

STUNNING GEORGIAN STYLE Kurfiss.com/6288169

$1,475,000

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FITLER SQUARE

Kurfiss.com/6272577

$2,375,000

PHILADELPHIA COUNTY HOME SALES Total Volume In Millions Of Dollars Through June 30th, 2004 - 2013

0

Dollar volume continued its growth for the second year, up 28% over 2012 mid-year totals, surpassing 2010 (tax credit) totals and, similar to other counties, almost equaling 2008 totals. $1,184,000,000 worth of residential real estate was closed in Philadelphia County in the first half of 2013.

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PHILADELPHIA COUNTY AVERAGE HOME PRICES Through June 30th, 2004 - 2013

0

T H O U S A N D S

PCT

YEARS

4.43%

Annual

143.1%

00 - 13

47.7%

04 - 13

25.7%

05 - 13

9.4%

07 - 13

7.2%

08 - 13

9.8%

10 - 13

Philadelphia County had strong growth in the average home price in the first half of 2013, surpassing 2012â&#x20AC;&#x2122;s $189,000 average price by more than 6% and establishing an all-time high.

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PHILADELPHIA COUNTY SUPPLY OF HOMES N U M B E R

In Months By Price Range ANNUALIZED “ABSORPTION RATE”

O F M O N T H S

0.0 $

$

$

<$

The supply of high-end inventory (homes priced at $1 million or more) dropped by more than 6 months, while at the opposite end of the price spectrum of $300K or less, the supply of homes for sale remains stubbornly high. Other price ranges show stronger signs of recovery with inventory levels dropping.

BORIE ESTATE

Kurfiss.com/6254174

$2,500,000

KURFISS.COM 35

FRENCH NORMANDY-STYLE Kurfiss.com/6183023

$1,575,000

PHILADELPHIA COUNTY RESIDENTIAL PROPERTY SALES Units Sold Through June 30th, 2004 - 2013

Following tedious growth in the number of homes sold by June 30 in both 2011 and 2012, unit sales jumped almost 21% from 2012-2013, nearing 2010 totals.

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PHILADELPHIA COUNTY Year 2011 2012 2013

Units 28 37 42

Average Price Median Price $1,465,596 $1,270,500 $1,563,538 $1,363,000 $1,524,647 $1,355,000

CLOSED SALES Distressed 0% 5% 0%

Over $1,000,000 From January 1 Through June 30th Of Each Year

CHESTNUT HILL AREA Year 2011 2012 2013

Units 4 5 6

Average Price Median Price $1,188,750 $1,182,000 $1,185,000 $1,050,000 $1,486,611 $1,368,750

Distressed 0% 0% 0%

RITTENHOUSE SQUARE AREA Year 2011 2012 2013

Units 16 19 20

Average Price Median Price $1,583,068 $1,500,000 $1,543,678 $1,500,000 $1,584,075 $1,345,000

Distressed 0% 5% 0%

SOCIETY HILL AREA Year 2011 2012 2013

Units 8 12 12

Average Price Median Price $1,369,075 $1,250,050 $1,751,750 $1,360,500 $1,522,417 $1,356,250

Distressed 0% 8% 0%

THE WILLINGS

Kurfiss.com/6155961

$899,000

KURFISS.COM 37

BUCKS COUNTY OFFICE 6038 Lower York Road, New Hope, Pennsylvania 18938 Office: 215.794.3227

PHILADELPHIA/MAIN LINE OFFICE 226 W. Rittenhouse Square, Suite 102 Philadelphia, Pennsylvania 19103 Office: 215.735.2225

VIEW DISTINCTIVE PROPERTIES IN EVERY PRICE RANGE AT KURFISS.COM