TRENDGRAPHIX MONTHLY REAL ESTATE REPORT BROUGHT TO YOU BY

Lyon Real Estate

3640 American River Drive, Suite 100, Sacramento, CA 95864

FOR IMMEDIATE RELEASE August 15, 2011

CONTACT: Larry Knapp, CEO (916) 978-4288

Buyers See Real Estate as a Safe Investment

Sharp increases in buyer demand coupled with a decreasing number of homes on the market has resulted in relatively stable prices and increased sales throughout much of the region. Buyer activity has surged over 62% since July 2010 with a 9% increase in the last month alone. Buyers recognize that a mortgage payment may be less expensive than rent on a property; making home ownership the better choice. Overall home sales increased 11% over 2010 levels in July. Sales were particularly strong under $400,000 yet higher priced homes priced above $400,000 had decreased by 6% on year-over-year sales. While the pace of sales is increasing distressed properties continue to play a significant role in our market, stated Larry Knapp, CEO, Lyon Real Estate. Short sales and REO sales accounted for 65.3% of all sales in the region. While the high number of distressed sales contributed to a drop in the average price per square foot of 4% since 2010 the strong buyer demand has helped drive prices up 4% in the last month. The bottom line is that buyers and investors see the value in todays real estate market and are taking advantage of the best opportunity to own real estate in decades. With continued low interest rates and home ownership the lowest since the 1960s and housing affordability the highest since the 1970s we have every reason to expect to see continued stability in the region housing market for the foreseeable future, stated Knapp.

County All Sales Closed Sales New Contracts Inventory Months of Inventory Avg Sales Price (in Thousands) Avg Sales Price Per Sq Ft Short Sales Breakout Closed Sales New Contracts Inventory Months of Inventory Avg Sales Price (in Thousands) Avg Sales Price Per Sq Ft REO Sales Breakout Closed Sales New Contracts Inventory Months of Inventory Avg Sales Price (in Thousands) Avg Sales Price Per Sq Ft $400K Sales & Over Breakout Closed Sales New Contracts Inventory Months of Inventory Avg Sales Price (in Thousands) Avg Sales Price Per Sq Ft

Current Month

Prior Month

Var %

Same Mo Prior Year 2,072 2,188 8,525 4.1 $255 $135 488 538 2,526 5.2 $231 $119 703 718 1,484 2.1 $199 $112 272 240 1,951 7.2 $582 $185

Var %

2,302 3,546 7,020 3.0 $241 $129 538 1,422 2,132 4.0 $226 $115 799 943 1,322 1.7 $171 $103 257 309 1,454 5.7 $646 $194

2,631 3,261 7,173 2.7 $231 $124 627 1,196 2,301 3.7 $219 $113 977 958 1,284 1.3 $170 $101 278 294 1,411 5.1 $581 $176

-13% 9% -2% 12% 4% 4% -14% 19% -7% 8% 3% 1% -18% -2% 3% 26% 1% 2% -8% 5% 3% 11% 11% 10%

11% 62% -18% -26% -5% -4% 10% 164% -16% -23% -2% -4% 14% 31% -11% -22% -14% -8% -6% 29% -25% -21% 11% 5%

Short Sales & REO Sales as Percentage of Total Sales

Reg Closed Sales New Contracts 41.9% 33.3% Current Month SS REO 23.4% 40.1% Total Reg 39.0% 33.9% Prior Month SS REO 23.8% 36.7% Total Same Month Last Year Reg SS REO Total 42.5% 42.6% 23.6% 24.6% 33.9% 100.0% 32.8% 100.0%

34.7% 100.0% 26.6% 100.0%

37.1% 100.0% 29.4% 100.0%

About Trendgraphix, Inc. Trendgraphix, Inc. is a real estate reporting company based in Sacramento that uses local MLS data to provide highly-visual market statistical graphs to real estate brokers, agents, and MLS/Realtor associations across the USA. Trendgraphix's programs are currently used by tens of thousands of agents in more than 100 brokerages in 18 U.S. states. For more information visit www.TrendGraphix.com or email mcarter@trendgraphix.com