J. Merle Sollenberger, GRI, CRS

Here are the numbers from my June 4, 2010 searches in the Lancaster County MLS:

Active Listings UA Listings Ratio Prior year Ratio
Jun 4, 2010 3,310 830 25.08% 28.62%
May 7, 2010 3,301 1,040 31.51% 28.15%
Apr, 7, 2010 3,344 830 24.82% 22.44% (keep in mind that this is useful
Mar 7, 2010 3,089 666 21.56% 19.38% in watching trends emerge and
Feb 6, 2010 2,931 554 18.90% 16.37% change in the market)
Jan 7, 2010 2,772 413 14.89% 16.05%

In the June 2010 issue of the Lancaster County Association of Realtors® publication House Calls it is reported that Pending Home sales in April 2010 rose to 648 from 484 a year ago- a 33.9 percent increase. The March 2010 sales were 24% higher than March 2009. The UA/A ratio moving from 31.51% in May 2010 to 25.08% in June 2010 points to a reversal in the trend.

Well, it seems the tax credit expiring April 30 has taken away the urgency that buyers may have felt, things got quieter in the market. You can see from the following table that leading up to that date there was a significant increase in the number of homes going UA this year over last year. These figures show an even more significant decline in the number of homes going under agreement in May 2010.

The following table illustrates the trend over the last 5 months and compares that to the same period in 2009.

(Number of listings that went UA in the Lancaster County FLEX MLS.)
Month 2009 2010 % change
Jan 277 310 +11.9%
Feb 309 339 +9.7%
Mar 422 518 +22.7%
Apr 477 648 +35.8%
May 461 284 -38.4%

This table shows a 38.4% decrease in number of properties going under agreement in May 2010. With that it appears that we will see a reduction in the number of settlements in July and August 2010. You may see news reports highlighting the increase in sales recently. That is likely based on settled units. It remains to be seen how the market will be in the near future.

Interest rates are near historical lows and there is a great selection of homes on the market, making now a great time for buyers to purchase a home. Waiting and purchasing after interest rates increase will increase the monthly payment buyers will need to pay each month, and the accumulation of that extra amount over the life of the mortgage can add up to a significant amount.

If you know someone who is thinking of buying or selling, please recommend they call me. I'll also be happy to contact them if that is appropriate. By the way, I'm never too busy to take great care of clients you refer to me.

Prepared by: J. Merle Sollenberger, GRI, CRS, Associate Broker, Realtor®
Prudential Homesale Services Group
150 North Pointe Boulevard, Lancaster, PA 17601
717-560-9100 www.msollenberger.com msollenberger@topproducer.com in PA
Licensed

Feel free to visit me on Facebook.com, LinkedIn.com, or Twitter.com.

Active Listings UA Listings Ratio Prior year Ratio
May 7, 2010 3,301 1,040 31.51% 28.15%
Apr 7, 2010 3,344 830 24.82% 22.44%
Mar 7, 2010 3,089 666 21.56% 19.38%
Feb 6, 2010 2,931 554 18.90% 16.37% (keep in mind that this is useful
Jan 7, 2010 2,772 413 14.89% 16.05% in watching trends emerge and
Dec 7, 2009 2,873 439 15.28% 18.19% change in the market)
Nov 4, 2009 2,907 641 22.05% 20.43%

With everything going on I did not get to prepare and distribute an April 2010 Market Report. In 2009 things were much slower, so I am pleased with the higher level of activity in 2010.

Looking at the month to month trends last year and this year we see a stronger improvement in the UA/A ratio from April to May 2010 than we did in 2009. Some of that may be due to the tax credit incentive that expired on April 30, 2010. It will be interesting to see what happens in May 2010 now that the credit has expired.

In studying the above table, we can observe that several monthly ratios are stronger than those months were last year. Some were weaker than the prior year, but overall since September 2009 we've enjoyed a more robust market than the prior year. There are still concerns in the economy about unemployment and other issues, but they are easing a bit in some ways. The fiscal uncertainty in the European economy is currently weighing on world financial markets. Greece, Spain and other countries are dealing with significant challenges in their financial systems, and the implications of that are felt throughout the world.

The breakdown of the ratio for each of the price ranges is:
March 2010 Ratio May 2010 Ratio
Up to $50,000 30.59% 34.29%
$50,001 to $100,000 25.00% 39.02%
$100,001 to $150,000 34.98% 52.01%
$150,001 to $200,000 28.65% 40.20%
$200,001 to $250,000 21.68% 31.12%
$250,001 to $300,000 15.20% 20.33%
$300,001 to $400,000 7.65% 17.36%
$400,001 to $500,000 7.75% 16.18%
$500,001 and above 4.62% 5.02%

With these numbers we can see again that strength lies mostly in the ranges from $100,000 to $250,000. The higher price range properties have improved significantly. For the ratios in the $300,000 to $500,000 ranges to change this much there have been many that went under agreement since March.

In the May 2010 issue of the Lancaster County Association of Realtors® publication House Calls it is reported that Pending Home sales rose to 522 from 422 a year ago- a 24.2 percent increase. House Calls also reports that the number of new listings increased over the prior year, and settled homes also increased 10.1% over the prior year for the March period.

Interest rates are still low which creates a favorable environment for buyers, thereby assisting sellers. The government has stopped buying mortgage backed securities. They were doing that to support the mortgage market liquidity, but stopped recently to let them market act more naturally. Even so, we have not seen a significant increase in interest rates. When the economy gets more active again, we will likely see rates move higher.

If you know someone who is thinking of buying or selling, please recommend they call me. I'll also be happy to contact them if that is appropriate.

By the way, I'm never to busy to take care of clients you refer to me.

Prepared by: J. Merle Sollenberger, GRI, CRS, Associate Broker, Realtor®

Prudential Homesale Services Group

150 North Point Boulevard, Lancaster, PA 17601

717-560-9100 www.msollenberger.com msollenberger@topproducer.com

Licensed in PA AB066078

Feel free to visit me on Facebook.com, LinkedIn.com, or Twitter.com.

Things are happening! Over the weekend the weather was beautiful, and Monday I received several calls from buyers that I had not heard from for a while. Other agents are seeing activity as well.

Here are the numbers from my March 7, 2010 searches in the Lancaster County MLS:

Active Listings UA Listings Ratio Prior year Ratio

Mar 7, 2010 3,089 666 21.56% 19.38%
Feb 6, 2010 2,931 554 18.90% 16.37% (keep in mind that this is useful
Jan 7, 2010 2,772 413 14.89% 16.05% in watching trends emerge and
Dec 7, 2009 2,873 439 15.28% 18.19% change in the market)
Nov 4, 2009 2,907 641 22.05% 20.43%

In studying the above table, we can observe that February 2010 and March 2010 ratios are stronger than those months were last year. December 2009 and January 2010 were weaker than the prior year, but overall since September 2009 we've enjoyed a more robust market than the prior year. There are still concerns in the economy about unemployment and other issues, but they are easing a bit and it seems like the overall picture is improving. People are moving because something is changing in their life, and moving to a different home is appropriate. They are doing this because of their needs, not because of how the market is.

The breakdown of the ratio for each of the price ranges is:
# Active # UA Ratio
Up to $50,000 85 26 30.59%
$50,001 to $100,000 244 61 25.00%
$100,001 to $150,000 426 149 34.98%
$150,001 to $200,000 747 214 28.65%
$200,001 to $250,000 489 106 21.68%
$250,001 to $300,000 421 64 15.20%
$300,001 to $400,000 353 27 7.65%
$400,001 to $500,000 129 10 7.75%
$500,001 and above 195 9 4.62%

With these numbers we can see that strength lies mostly in the ranges from $100,000 to $250,000. The higher price range properties are languishing on the market longer.

The Lancaster County Association of Realtors® publication House Calls reports in the March 2010 issue that pending home sales rose to 315 in January 2010, a 12.9% increase over the 279 in January 2009. House Calls also reports that the number of new listings increased 25.9%, and settled homes were up 4.2% over January 2009. Together these numbers point to an improvement in the environment for people selling a home. Interest rates are still low which creates a favorable environment for buyers.

If you know someone who is thinking of buying or selling, please recommend they call me. I'll also be happy to contact them if that is appropriate.

By the way, I'm never to busy to take care of clients you refer to me.

Prepared by: J. Merle Sollenberger, GRI, CRS, Associate Broker, Realtor®
Prudential Homesale Services Group
150 North Point Boulevard, Lancaster, PA 17601
717-560-9100 www.msollenberger.com msollenberger@topproducer.com

Licensed in PA

Feel free to visit me on Facebook.com, LinkedIn.com, or Twitter.com.

Here are the numbers from my February 6, 2010 searches in the Lancaster County MLS:

Active Listings UA Listings Ratio Prior year Ratio

Feb 6, 2010 2,931 554 18.90% 16.37%
Jan 7, 2010 2,772 413 14.89% 16.05% (keep in mind that this is useful
Dec 7, 2009 2,873 439 15.28% 18.19% in watching trends emerge and
Nov 4, 2009 2,907 641 22.05% 20.43% change in the market)
Oct 6, 2009 2,882 759 26.34% 22.65%
Sep 8, 2009 2,884 773 26.80% 24.12%

The Lancaster County Association of Realtors publication, House Calls, reports in the February 2010 issue that Government Housing Incentives help spur the Market. This is referring to the $8,000 first-time home buyer tax credit, and the $6,500 seller/buyer tax credit. These credits were extended to include sales that go under agreement before April 30, 2010 and settle before July 1, 2010.

House Calls also reports in the February 2010 issue that home sales for 2009 were 1.8 percent lower in 2009 than they were in 2008, but up 23.8% in the 4^th quarter of 2009 compared to the same period in 2008. House Calls also reports that the amount of time that homes are on the market is shortening, especially late in 2009.

We are seeing much more activity in the market recently. Buyers are looking at homes and preparing offers that sellers are accepting. I recently had some sellers get multiple offers on their home, and they were pleased with the result. The snow storms we had recently affected buyer activity somewhat, but soon the snow will stop falling and Spring will arrive with a flurry of buyer and seller activity as people take advantage of the tax credit. If you haven't heard about the $8,000 tax credit, please contact me and I'll be happy to forward information about it to you. If you are thinking of moving or know someone who is, the credit is a valuable part of the transaction.

If you know someone who is thinking of buying or selling, please recommend they call me. I'll also be happy to contact them if that is appropriate.

By the way, I'm never to busy to take care of clients you refer to me.

Thank You!

Prepared by: J. Merle Sollenberger, GRI, CRS, Associate Broker, Realtor®
Prudential Homesale Services Group
150 North Point Boulevard, Lancaster, PA 17601
717-560-9100 www.msollenberger.com msollenberger@topproducer.com

Licensed in PA

Feel free to visit me on Facebook.com, LinkedIn.com, or Twitter.com.

Happy New Year! I hope you had a wonderful holiday season and are looking forward to this year. The week before Christmas turned out to be very busy for me, and we enjoyed helping three households select homes and enter agreements to buy them, which helped two households and a builder be able to move forward with their plans.

Here are the numbers from my January 7, 2010 searches in the Lancaster County MLS:

Active Listings UA Listings Ratio Prior year Ratio

Jan 7, 2010 2,772 413 14.89% 16.05%

Dec 7, 2009 2,873 439 15.28% 18.19%

Nov 4, 2009 2,907 641 22.05% 20.43%

Oct 6, 2009 2,882 759 26.34% 22.65%

Sep 8, 2009 2,884 773 26.80% 24.12%

Jul 7, 2009 2,761 796 28.83% 29.17%

May 7, 2009 2,845 801 28.15% 34.95%

Mar 7, 2009 2,812 545 19.38% 31.00%

Jan 3, 2009 2,660 427 16.05% 21.29%

Here is a list of the number of Active Listings, Under Agreement listings, the ratio of the two, and the date I reviewed the MLS information. This covers the years from 2001 through 2010. The Approximate # of Months Supply figure simply takes the number of active listings and divides it by the number under agreement. A more precise calculation would use the actual number of homes that went under agreement in a given period of time, but this method gives a similar picture of the market.

Date # Active # UA Ratio Approx. # Months Supply

01/11/2001	2333	539	23.10%	4.3
01/07/2002	1964	676	34.42%	2.9
01/04/2003	2235	1087	48.64%	2.1
01/07/2004	1485	1144	77.04%	1.3
01/19/2005	1430	1219	85.24%	1.2
01/09/2006	1489	706	47.41%	2.1
01/08/2007	2041	678	33.22%	3.0
01/05/2008	2273	484	21.29%	4.7
01/03/2009	2660	427	16.05%	6.2
01/07/2010	2772	413	14.90%	6.7

Over the years you can see the market strengthening from 2001 until 2005, and then begin to weaken substantially. A year ago I predicted that we hit bottom in terms of activity, and realize now that wasn't correct. (A hazard of making such predictions) This year again I see positive things in the market and expect improvement over 2009 in measurements such as number of homes sold and a shortening of time on the market. The Lancaster County Association of Realtors publication, House Calls, reports in the December 2009 issue that the National Association of Realtors® forecasts 2010 home sales are expected to be 15 percent over 2009. Time will tell if this is correct or not, but overall I see it as a good time to purchase a home.

House Calls also reports in the January 2010 issue that home sales for the month of November 2009 were 49.8 percent higher than November 2008. This is the fourth consecutive month that we saw more homes sold than the same period in the prior year. House Calls also reports that 39.2 percent of homes sold in a month or less, compared to 24.7 percent in November 2008, indicating that the aamount of time homes are on the market is shortening.

Once again, this time of year tends to have fewer active buyers and sellers, but those who are active are generally feeling a strong need to move for some reason or another. There is talk of interest rates heading up in the Spring due to the Federal Reserve changing strategy and focus, in an attempt to avoid inflation. Astute buyers are trying to lock in ahead of that.

If you haven't heard about the $8,000 tax credit, please contact me and I'll be happy to forward information about it to you.

On January 7 we resumed operations at the Prudential Homesale Services Group Kiosk at Park City in the Boscov mall. In the three shifts I've been there since then the flow of people stopping to talk has been good. There are people wanting to move.

If you know someone who is thinking of buying or selling, please recommend they call me. I'll also be happy to contact them if that is appropriate.

Thank You!

Prepared by: J. Merle Sollenberger, GRI, CRS, Associate Broker, Realtor®

Prudential Homesale Services Group

150 North Point Boulevard, Lancaster, PA 17601

717-560-9100 www.msollenberger.com msollenberger@topproducer.com

Licensed in PA

Feel free to visit me on Facebook.com, LinkedIn.com, or Twitter.com.