MARKET AREA UPDATE Report as of: 1Q 2Q 3Q 4Q

Year: 2013 Market Area (City, State): Baltimore Metropolitan Area MARKET AREA UPDATE Report as of: 1Q 2Q 3Q 4Q Provided by (Company / Companies): LONG & FOSTER REAL ESTATE, INC. What are the most significant trends in your current real estate market? (Attach addenda, charts, graphs, etc. as appropriate) * As 2013 comes to a close, the housing market in the Baltimore Metro Region continues to improve. For the 2013 calendar year, the total number of sales in the region increased 13.8 percent from those in 2012 and the median sales price increased by 4.3 percent. All jurisdictions in the region had a higher median sales price in 2013 than in 2012. In December, the region recovered from the slowdown that occurred in November due largely to the shutdown of the Federal Government. Closed sales increased 11.3 percent from last December and 6.4 percent from last month. This increase in closed sales from November does not follow typical seasonal patterns as this change is generally flat. The increases in closed sales as compared to both last year and last month indicate that the low level of sales in November was anomalous and not part of a larger trend. Define Market Area: Urban (city limit area only) Metro Area (as defined by MSA) Other: Please explain: * Anne Arundel County, Baltimore City, Baltimore County, Carroll County, Harford County, Howard County - MD Single Family (detached) Condominiums / Townhomes (attached) **Sales Price (current) Choose one: Average Median $ 309,225 $ 187,900 / 165,000 **Sales Price (same time prior year) Choose one: Average Median $ 290,000 $ 182,450 / 177,000 Average Days on Market list to contract (current) Absorption Months of Inventory (last 3 months) Number of active listings divided by the average # of sales per month (for the last 3 months) = # of months needed to sell existing inventory Active Listings # 85 Increase Decreasing Stable # n/a # n/a # 65 / 71 Increase Decreasing Stable # 5,995 # 968 / 3,484 Closed # 1,140 # 243 / 781 Expired Listings ( total last 3 months if available) # n/a # n/a Change in Home Values % 6.6 % 3.0 / -6.8 Sold LP/SP Ratio (last 3 months) REAL ESTATE MARKET DATA Increase in past 3 months Stable Decreasing in past 3 months Increase in past 3 months Stable Decreasing in past 3 months % 93.6 % 93.6 / 92.3 **Average = the result by adding all sales prices and dividing by the number of units sold Median = denoting the middle of the range of values GENERAL ECONOMY How would you rate the overall economic conditions in area as defined above: Mixed Stable Healthy Shrinking Depressed Supply of Listings: (Single family) Shortage Oversupply Balanced ~ (Condo/Town home) Shortage Oversupply Balanced Overall Market Conditions: Active Stable Sluggish Flat Depressed Unemployment Rate: % % 6.3 Average Please check trend: Increasing Decreasing Same Please describe local economic conditions/climate: (draw upon newspaper articles concerning the coming and going of corporations, layoffs, etc.) * The federal government continued shedding jobs last month, losing another 2,000 workers for a total decline of nearly 80,000 employees in 2013, according to the latest Bureau of Labor Statistics data.the shrinkage in the federal workforce last year contrasts with consistent growth in the private sector, which showed an increase of 2.2 million new jobs for the year, including 87,000 new positions in December. RENTAL INFORMATION Is There a Charge for Rental Assistance: Yes No Outsourced Is Home/Condo Rental Information Available in Your MLS: Yes No

Single Family Housing Availability: (3+Bedrooms) Shortage Oversupply Balanced Average Rent n/a Condo/Townhome Availability: (2+Bedrooms) Shortage Oversupply Balanced Average Rent n/a Apartment Availability: (2+Bedrooms) Shortage Oversupply Balanced Average Rent n/a

Baltimore Metro Quarterly Market Statistics - Detailed Report 4th Quarter 2013 Sold Summary Financing (Sold) Days on Market (Sold) Q4 2013 Q4 2012 % Change Sold Dollar Volume $1,879,415,275 $1,665,290,299 12.86% Avg Sold Price $282,746 $271,132 4.28% Median Sold Price $235,000 $230,000 2.17% Units Sold 6,647 6,142 8.22% Avg Days on Market 76 97-21.65% Avg List Price for Solds $290,933 $279,955 3.92% Avg SP to OLP Ratio 93.7% 92.4% 1.44% Ratio of Avg SP to Avg OLP 93.5% 92.6% 0.96% Attached Avg Sold Price $192,677 $191,561 0.58% Detached Avg Sold Price $363,243 $338,545 7.30% Attached Units Sold 3,135 2,817 11.29% Detached Units Sold 3,511 3,325 5.59% Assumption 2 Cash 1,624 Conventional 3,049 FHA 1,210 Other 222 Owner 11 VA 529 0 191 1 to 10 1,087 11 to 20 864 21 to 30 624 31 to 60 1,289 61 to 90 823 91 to 120 566 121 to 180 613 181 to 360 420 361 to 720 136 721+ 34 Notes: SP = Sold Price OLP = Original List Price LP = List Price (at time of sale) Garage/Parking Spaces are not included in Detached/Attached section totals. Sold Detail Active Detail Residential Condo/Coop Active Listings 2 or Less BR 3 BR 4 or More BR All Residential Condo/Coop Price Ranges Detached Attached/TH Detached Attached/TH Detached Attached/TH Attached Detached Attached/TH Attached < $50,000 18 105 29 263 14 64 14 75 709 14 $50K to $99,999 50 84 72 230 45 19 73 198 624 62 $100K to $149,999 45 53 129 229 65 20 127 355 630 175 $150K to $199,999 56 74 206 239 101 42 170 638 437 193 $200K to $299,999 53 113 473 374 336 62 207 1,287 628 268 $300K to $399,999 17 32 268 195 396 66 98 993 282 116 $400K to $499,999 8 6 105 63 350 15 24 718 103 59 $500K to $599,999 4 0 40 10 237 8 19 589 35 32 $600K to $799,999 0 2 24 4 213 6 11 559 21 25 $800K to $999,999 1 0 5 0 72 1 6 250 8 13 $1M to $2,499,999 0 0 4 0 66 2 5 264 6 10 $2.5M to $4,999,999 0 0 0 0 8 0 0 55 1 0 $5,000,000+ 0 0 0 0 1 0 0 14 0 1 Total 252 469 1,355 1,607 1,904 305 754 5,995 3,484 968 Avg Sold Price $175,929 $151,643 $267,098 $179,082 $456,457 $226,792 $233,375 Prev Year - Avg Sold Price $172,912 $150,120 $261,083 $177,401 $416,899 $225,861 $230,347 Avg Sold % Change 1.74% 1.01% 2.30% 0.95% 9.49% 0.41% 1.31% Prev Year - # of Solds 228 448 1,315 1,362 1,782 269 738 Source: RealEstate Business Intelligence, LLC. An MRIS company. Statistics generated on 01/06/2014. Copyright 2014 - All Rights Reserved. Information deemed reliable, but is not guaranteed.

December 2013 Condo & Coop Attached/Townhouse Detached Baltimore Metro Presented by Mike Uhing Long & Foster Email: vicki.hamp@longandfoster.com Web: www.longandfoster.com

Presented by Mike Uhing December 2013 Baltimore Metro - Condo & Coop Long & Foster Email: vicki.hamp@longandfoster.com Web: www.longandfoster.com New Listings 213 New Pendings 202 Closed Sales 243-30.2% 9.8% 305 194-21.7% -4.3% 258 211 11.5% 4.7% 218 232 4,739 3,954 19.9% : 216 3,918 3,435 14.1% : 173 3,212 2,710 18.5% : 194 Median $187,900 Sold Price -5.3% 3.0% $198,500 $182,450 $195,000 $182,500 6.8% : $190,997 Summary In Baltimore Metro, the median sold price for Condo & Coop properties for December was $187,900, representing a decrease of 5.3% compared to last month and an increase of 3% from Dec 2012. The average days on market for units sold in December was 65 days, 34% below the 5-year December average of 98 days. There was a 21.7% month over month decrease in new contract activity with 202 New Pendings; a 20.2% MoM decrease in All Pendings (new contracts + contracts carried over from November) to 423; and a 5.5% decrease in supply to 968 active units. This activity resulted in a Contract Ratio of 0.44 pendings per active listing, no change from November and no change from December 2012. The Contract Ratio is 37% higher than the 5-year December average of 0.32. A higher Contract Ratio signifies a relative increase in contract activity compared to supply, and indicates the market is moving in the seller's favor. A lower Contract Ratio signifies a relative decrease in contract activity compared to supply, and indicates the market is moving in the buyer's favor. Active Listings 968 968 65 Avg DOM 65 Avg Sold to 93.6% OLP Ratio 93.6% 870 1,267 1,634 65 98 125 88.7% 92.0% 94.8% Nov 2013 Dec 2012 1,024 870 70 80 77 94.3% 94.8% 94.4% Copyright 2014 RealEstate Business Intelligence, LLC. All Rights Reserved. Data Source: MRIS. Statistics calculated January 06, 2014.

Presented by Mike Uhing December 2013 Baltimore Metro - Attached/Townhouse Long & Foster Email: vicki.hamp@longandfoster.com Web: www.longandfoster.com New Listings 787 New Pendings 694 Closed Sales 781-32.2% 11.0% 1,161 709-23.1% 0.6% 902 690 11.1% 19.8% 703 652 15,911 13,861 14.8% : 874 12,495 11,290 10.7% : 636 10,147 8,537 18.9% : 674 Median $165,000 Sold Price 1.7% -6.8% $162,300 $177,000 $180,000 $172,500 4.3% : $161,700 Summary In Baltimore Metro, the median sold price for Attached/Townhouse properties for December was $165,000, representing an increase of 1.7% compared to last month and a decrease of 6.8% from Dec 2012. The average days on market for units sold in December was 71 days, 23% below the 5-year December average of 92 days. There was a 23.1% month over month decrease in new contract activity with 694 New Pendings; a 13.8% MoM decrease in All Pendings (new contracts + contracts carried over from November) to 1,633; and an 8.3% decrease in supply to 3,484 active units. This activity resulted in a Contract Ratio of 0.47 pendings per active listing, no change from November and no change from December 2012. The Contract Ratio is 42% higher than the 5-year December average of 0.33. A higher Contract Ratio signifies a relative increase in contract activity compared to supply, and indicates the market is moving in the seller's favor. A lower Contract Ratio signifies a relative decrease in contract activity compared to supply, and indicates the market is moving in the buyer's favor. Active Listings 3,484 3,484 71 Avg DOM 71 Avg Sold to 92.3% OLP Ratio 92.3% 3,285 4,685 6,442 71 92 110 85.4% 89.0% 92.3% Nov 2013 Dec 2012 3,799 3,285 64 83 71 94.7% 91.4% 93.8% Copyright 2014 RealEstate Business Intelligence, LLC. All Rights Reserved. Data Source: MRIS. Statistics calculated January 06, 2014.

Presented by Mike Uhing December 2013 Baltimore Metro - Detached Long & Foster Email: vicki.hamp@longandfoster.com Web: www.longandfoster.com New Listings 1,078 New Pendings 940 Closed Sales 1,140-32.9% 17.8% 1,607 915-22.6% -1.5% 1,215 954 2.5% 7.4% 1,112 1,061 25,211 22,286 13.1% : 1,066 18,630 17,522 6.3% : 876 15,454 14,079 9.8% : 1,021 Median $309,225 Sold Price -0.3% 6.6% $310,000 $290,000 $310,000 $295,000 5.1% : $289,825 Summary In Baltimore Metro, the median sold price for Detached properties for December was $309,225, representing a decrease of 0.3% compared to last month and an increase of 6.6% from Dec 2012. The average days on market for units sold in December was 85 days, 27% below the 5-year December average of 116 days. There was a 22.6% month over month decrease in new contract activity with 940 New Pendings; a 17.6% MoM decrease in All Pendings (new contracts + contracts carried over from November) to 2,049; and an 8.8% decrease in supply to 5,995 active units. This activity resulted in a Contract Ratio of 0.34 pendings per active listing, no change from November and no change from December 2012. The Contract Ratio is 23% higher than the 5-year December average of 0.28. A higher Contract Ratio signifies a relative increase in contract activity compared to supply, and indicates the market is moving in the seller's favor. A lower Contract Ratio signifies a relative decrease in contract activity compared to supply, and indicates the market is moving in the buyer's favor. Active Listings 5,995 5,995 85 Avg DOM 85 Avg Sold to 93.6% OLP Ratio 93.6% 5,519 6,923 8,269 85 116 144 88.4% 90.8% 93.6% Nov 2013 Dec 2012 6,573 5,519 82 108 85 93.6% 92.2% 94.2% Copyright 2014 RealEstate Business Intelligence, LLC. All Rights Reserved. Data Source: MRIS. Statistics calculated January 06, 2014.

Baltimore, MD Metro Area December 2013 Housing Market Update Prices flat in December, up 4.3% for the year Closed sales up 14 percent in 2013 Rockville, MD (January 10, 2014) The following analysis of the Baltimore, MD Metro Area housing market has been prepared by RealEstate Business Intelligence (RBI) and GMU Center for Regional Analysis, and is based on December 2013 MRIS housing data. OVERVIEW As 2013 comes to a close, the housing market in the Baltimore Metro Region continues to improve. For the 2013 calendar year, the total number of sales in the region increased 13.8 percent from those in 2012 and the median sales price increased by 4.3 percent. All jurisdictions in the region had a higher median sales price in 2013 than in 2012. In December, the region recovered from the slowdown that occurred in November due largely to the shutdown of the Federal Government. Closed sales increased 11.3 percent from last December and 6.4 percent from last month. This increase in closed sales from November does not follow typical seasonal patterns as this change is generally flat. The increases in closed sales as compared to both last year and last month indicate that the low level of sales in November was anomalous and not part of a larger trend. For the third consecutive month, active listings increased from last year, with gains in all property segments. Even with this increase, supply remains tight and is only 51.7 percent of its 2008 peak level. New listings increased 14.3 percent from last year which is the ninth consecutive month of double-digit increases for this indicator. The median sales price decreased 0.4 percent as compared to December 2012, possibly due to the increases in supply and interest rates and the residual impact of the Federal shutdown. The upcoming year should see continued improvement in the Baltimore Metro Region housing market, but rising interest rates and inventory may flatten some of the growth. 1

CLOSED SALES Double-digit increase in closed sales from last year; townhomes lead in sales growth. The number of closed sales in the Baltimore Metro Region increased 11.3 percent from last December for a total of 2,164 sales. This is the highest December-level for sales since 2006. As compared to last month, the number of sales increased 6.4 percent, which is significantly higher than the 10-year average November to December change of -0.8 percent. The number of closed sales increased as compared to last year for all property segments. Townhomes had the sharpest increase, rising 19.8 percent from December 2012. Sales of single-family detached homes increased 7.4 percent from last year, while those for condo properties increased 4.7 percent. PRICES Mild decrease in median sales price from last December driven by townhomes. At $234,075, the median sales price in the Baltimore Metro Region is 0.4 percent lower than this time last year, a decrease of $925. This is the first decrease for this indicator in nearly two years. Townhomes were the only property segment to have a lower median sales price than this time last year, decreasing 6.8 percent or $12,000. Single-family detached homes had the highest growth rate of all property segments increasing 6.6 percent from December 2012 for a gain of $19,225. The median price of condo properties increased 3.0 percent from last December for a gain of $5,450. The median sales price in Anne Arundel County had the highest growth rate of the jurisdictions in the region, increasing 10.3 percent from last December. For the region as a whole, the median sales price in the 2013 calendar year increased to $240,000 from $230,000 for a 4.3 percent gain from last year. All jurisdictions in the region had a higher median sales price in the 2013 calendar year as compared to 2012. Among the jurisdictions, Carroll County had the highest growth in this annual median sales price, increasing 6.1 percent from 2012. NEW CONTRACTS Small decline in new contracts as compared last year driven by condos and single-family homes. There were 1,836 new contracts signed in December, a decrease of 1.0 percent, or 19 contracts, from December 2012. New contracts decreased 22.7 percent from last month, which is a sharper decrease than the ten-year average November to December change of -15.7 percent. Townhomes were the only property segment to have more new contracts than last year, increasing 0.6 percent, or by 4 contracts, from a year ago. New contracts for single-family detached homes decreased 1.5 percent, while those for condo properties decreased 4.3 percent from a year ago. 2

INVENTORY Third consecutive month of year-over-year increases in active listings. Active listings in the Baltimore Metro Region increased 8.0 percent from this time last year to 10,448 listings at the end of December. This is an increase of 774 listings, and the third month of increases for this indicator. Despite this increase, active listings are 48.3 percent lower than their July 2008 peak. Active listings for condo properties had the sharpest increase, rising 11.3 percent from last December. Active listings for single-family detached homes increased 8.6 percent. Active listings for townhomes increased 6.1 percent, or by 199 listings. Gains in new listings have contributed to the increase in active listings. There were 2,078 new listings in December, which is an increase of 14.3 percent from last year. This is the ninth consecutive month of double-digit growth for this indicator, evidence that sellers are becoming more confident in the market. Single-family detached homes led all property segments in new listing growth, rising 17.8 percent from last December. New listings of townhomes increased 11.0 percent and those for condo properties increased 9.8 percent from this time last year. At 49 days, the median days-onmarket is one day lower than last year and the lowest December-level in eight years. Following typical seasonal patterns, this is well above the median DOM for the calendar year. At 36 days, the median DOM in 2013 was 17 days lower than the 53-day level in 2012. ### About the RBI Metro Housing Market Update The Baltimore Metro Area Housing Market Update provides unique insights into the state of the current housing market by measuring the number of new pending sales, trends by home characteristics, and key indicators through the most recent month compiled directly from MRIS Multiple Listing Service (MLS) data in RBI s proprietary database. The bulk of this report s content is readily available, down to the ZIP code level of granularity, via interactive charts and reports offered via rbiexpert, a premium subscription service offered to real estate professionals interested in growing their business with the help of industry-leading and user-friendly analytics. The Baltimore Metro Area housing market includes the City of Baltimore, Anne Arundel County, Baltimore County, Carroll County, Harford County and Howard County in Maryland. About RealEstate Business Intelligence, LLC RealEstate Business Intelligence, LLC (RBI) is a primary source of real estate data, analytics and business intelligence for real estate professionals with business interests in the Mid-Atlantic region. The full monthly data report for all jurisdictions in the MRIS region, along with interactive charts and graphics, can be found at www.rbintel.com/statistics. RBI is the only company in the Mid-Atlantic region that provides timely, online access to statistical information directly from the MRIS Multiple Listing Service (MLS). Visit rbintel.com or www.facebook.com/rbintel to learn more. About the Center for Regional Analysis at George Mason University The Center for Regional Analysis conducts research and analytical studies on economic, fiscal, demographic, housing, and social and policy issues related to the current and future growth of the Virginia, Maryland, and DC areas. Through its range of research and programs major economic impact studies, economic forecasts, fiscal analyses, conferences and seminars, publications, information services, and data products the Center s activities strengthen decision-making by businesses, governments, and institutions throughout the Greater Washington region. Visit http://cra.gmu.edu to learn more. Media Contact Gina Zuk, Abel Communications 443-604-5203 gina@abelcommunications.com ### 3