VirginiaForeclosures and Rental Housing Overview

___________________________

Patrick M. Bowen

Bowen National Research

November 17, 2011

Virginia Foreclosures of Select Cities

10/2010-9/2011Source: RealtyTrac

Northampton 15Lexington 16Abingdon 20Emporia 22Marion 22Accomack 31Wytheville 54Martinsville 69Staunton 88

Waynesboro 113Harrisonburg 164Danville 258Lynchburg 271Petersburg 309Charlottesville 332Williamsburg 436Arlington 453

Winchester 723Roanoke 817Hampton 1,160Portsmouth 1,271Newport News 1,357Fredericksburg 1,563Alexandria 1,692Chesapeake 2,088Richmond 4,484

Foreclosure Filings - Past 12 Months

• Overall - 774 Rental Properties in 24 Markets • Overall - 117,985 Units, 94.8% Occupied• 207 LIHTC Projects, 96.0% Occupied• 567 Market-Rate Projects, 94.5% Occupied• Strongest Overall Regions:

NE-97.1% (Alexandria, Arlington and Winchester) SW-97.3% (Abington, Marion and Wytheville)

• Weakest Overall Region:SE-92.3% (Hampton, Newport News, Portsmouth)

Virginia Rental Housing Overview

2011 Summary Data

East Region Rental Housing Overview

• 154 Total Projects – 6.3% Vacant

•91 Market-rate Projects – 6.8% Vacant

•63 Tax Credit Projects – 5.2% Vacant

Petersburg

Fredericksburg Foreclosure Activity

Fredericksburg foreclosure activity peaked in October of 2010 with 178 filings.

The Fredericksburg (City) foreclosurerate of 0.20% is nearly double the Virginia (0.11%) rate.

Source: RealtyTrac

Source: RealtyTrac

Fredericksburg Rental Housing

Tax Credit Market-Rate TotalProjects 10 10 20Units 1,518 2,269 3,787Vacancy 98 54 152Vac. Rate 6.5% 2.4% 4.0%

Petersburg Foreclosure Activity

Petersburg foreclosure activitypeaked in August of 2011 with 40 filings.

The Petersburg (City) foreclosure rate of 0.11% is equal to the Virginia (0.11%) rate and below the National (0.17%) rate.

Source: RealtyTrac

Source: RealtyTrac

Petersburg Rental Housing

Tax Credit Market-Rate TotalProjects 8 27 35Units 834 2,268 3,102Vacancy 9 247 256Vac. Rate 1.1% 10.9% 8.3%

Accomack County Foreclosure Activity

Accomack foreclosure activity last peaked in March of 2011 with 4 filings.

The Accomack (County) foreclosurerate of 0.01% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Northampton County Foreclosure Activity

Northampton foreclosure activity last peaked in July of 2011 with 3 filings.

The Northampton (County) foreclosure rate of 0.01% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Accomack/Northampton Rental Housing

Tax Credit Market-Rate TotalProjects 4 6 10Units 91 19 110Vacancy 0 0 0Vac. Rate 0.0% 0.0% 0.0%

Richmond Foreclosure Activity

Richmond foreclosure activitypeaked in October of 2010 with 621 filings.

The Richmond (City) foreclosure rate of 0.14% is slightly above the Virginia (0.11%) rate but below the National (0.17%) rate.

Source: RealtyTrac

Source: RealtyTrac

Richmond Rental Housing

Map here

Tax Credit Market-Rate TotalProjects 41 48 89Units 4,075 6,744 10,819Vacancy 235 472 707Vac. Rate 5.8% 7.0% 6.5%

Southeast Region Rental Housing Overview

170 Total Projects: 7.7% Vacant121 Market-rate Projects: 8.6% Vacant49 Tax Credit Projects: 4.2% Vacant

Williamsburg Foreclosure Activity

The Williamsburg (City) foreclosurerate of 0.08% is slightly below the Virginia rate (0.11%) and less than half the National (0.17%) rate.

Williamsburg foreclosure activity peaked in December of 2010 with 57 filings.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 12 22 37Units 939 3,160 4,099Vacancy 24 203 227Vac. Rate 2.6% 6.4% 5.5%

Williamsburg Rental Housing

Hampton Foreclosure Activity

The Hampton (City) foreclosure rate of 0.13% is comparable to the Virginia (0.11%) rate but below the National (0.17%) rate.

Hampton foreclosure activity peaked in October of 2010 with 163 filings.

Source: RealtyTrac

Source: RealtyTrac

Newport News Foreclosure Activity

The Newport News (City) foreclosurerate of 0.10% is nearly identical to the Virginia rate (0.11%) but below the National (0.17%) rate.

Newport foreclosure activity peaked in March of 2011 with 143 filings.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 18 83 101Units 2,486 15,816 18,302Vacancy 200 1,603 1,803Vac. Rate 8.0% 10.1% 9.9%

Hampton/Newport News Rental Housing

Portsmouth Foreclosure Activity

Portsmouth foreclosure activitypeaked in October of 2010 with 165 filings.

The Portsmouth (City) foreclosurerate of 0.24% is more than double the Virginia rate (0.11%) and well above the National (0.17%) rate.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 7 11 18Units 960 1,430 2,390Vacancy 12 69 81Vac. Rate 1.3% 4.8% 3.4%

Portsmouth Rental Housing

Chesapeake Foreclosure Activity

Chesapeake foreclosure activity peaked in October of 2010 with 311 filings.

The Chesapeake (City) foreclosurerate of 0.17% is well above the Virginia (0.11%) rate but equal to the National (0.17%) rate.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 12 5 17Units 1,678 1,763 3,411Vacancy 18 39 57Vac. Rate 1.1% 2.2% 1.7%

Chesapeake Rental Housing

South Region Rental Housing Overview

39 Total Projects: 6.8% Vacant30 Market-rate Projects: 8.1% Vacant9 Tax Credit Projects: 4.8% Vacant

Danville Foreclosure Activity

Danville foreclosure activitypeaked in September of 2011with 39 filings.

The Danville (City) foreclosure rate of 0.13% is between the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 5 14 19Units 516 572 1088Vacancy 30 37 67Vac. Rate 5.8% 6.5% 6.2%

Danville Rental Housing

Emporia Foreclosure Activity

Emporia foreclosure activitypeaked in March of 2011 with 4 filings.

The Emporia (City) foreclosure rate of 0.05% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 2 6 8Units 164 100 264Vacancy 5 4 9Vac. Rate 3.0% 4.0% 3.4%

Emporia Rental Housing

Martinsville Foreclosure Activity

Martinsville foreclosure activitypeaked in October of 2010 with 15 filings.

The Martinsville (City) foreclosurerate of 0.03% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 2 10 12Units 48 442 490Vacancy 0 49 49Vac. Rate 0.0% 11.1% 10.0%

Martinsville Rental Housing

Southwest Region Rental Housing Overview

45 Total Projects: 2.7% Vacant31 Market-rate Projects: 2.8% Vacant14 Tax Credit Projects: 2.7% Vacant

Wytheville

Abingdon

Marion

Wytheville foreclosure activitypeaked in April of 2011 with 39 filings.

Wytheville Foreclosure Activity

The Wytheville (Town) foreclosurerate of 0.01% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 3 6 9Units 98 71 169Vacancy 0 6 6Vac. Rate 0.0% 8.5% 3.6%

Wytheville Rental Housing

Abingdon Foreclosure Activity

Abingdon foreclosure activitypeaked in August of 2011 with 5 filings.

The Abingdon (Town) foreclosurerate of 0.01% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 9 16 25Units 259 419 678Vacancy 11 5 16Vac. Rate 4.2% 1.2% 2.4%

Abingdon Rental Housing

Marion Foreclosure Activity

Marion foreclosure activitypeaked in July of 2011 with 6 filings.

The Marion (Town) foreclosure rate of 0.06% is half the Virginia rate (0.11%) and well below National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 2 9 11Units 52 237 289Vacancy 0 9 9Vac. Rate 0.0% 3.8% 3.1%

Marion Rental Housing

West Region Rental Housing Overview

90 Total Projects: 6.1% Vacant68 Market-rate Projects: 6.5% Vacant22 Tax Credit Projects: 4.3% Vacant

Lexington

The Lexington (City) foreclosurerate of 0.02% is well below the Virginia (0.11%) and National (0.17%) rates.

Lexington Foreclosure Activity

Lexington foreclosure activitypeaked in November of 2010with 5 filings.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 6 15 21Units 225 376 601Vacancy 2 36 38Vac. Rate 0.9% 9.6% 6.3%

Lexington Rental Housing

Roanoke Foreclosure Activity

Roanoke foreclosure activitypeaked in November of 2010 with 109 filings.

The Roanoke (City) foreclosurerate of 0.06% is about half the Virginia (0.11%) rate

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 10 14 24Units 1,367 4,237 5,604Vacancy 65 251 316Vac. Rate 4.8% 5.9% 5.6%

Roanoke Rental Housing

Harrisonburg Foreclosure Activity

Harrisonburg foreclosure activity peaked in November of 2010 with 24 filings.

The Harrisonburg (City) foreclosurerate of 0.06% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 3 20 23Units 208 2,814 3,022Vacancy 11 174 185Vac. Rate 5.3% 6.2% 6.1%

Harrisonburg Rental Housing

Staunton Foreclosure Activity

Staunton foreclosure activitypeaked in May of 2011 with 15 filings.

The Staunton (City) foreclosurerate of 0.08% is below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 3 19 22Units 281 1,318 1,599Vacancy 11 111 122Vac. Rate 3.9% 8.4% 7.6%

Staunton Rental Housing

North Region Rental Housing Overview

154 Total Projects: 2.9% Vacant121 Market-rate Projects: 3.0% Vacant33 Tax Credit Projects: 1.8% Vacant

Arlington Foreclosure Activity

Arlington foreclosure activitypeaked in July of 2011 with 49 filings.

The Arlington (City) foreclosurerate of 0.03% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Map here

Tax Credit Market-Rate TotalProjects 10 6 16Units 2,121 470 2,591Vacancy 36 7 43Vac. Rate 1.7% 1.5% 1.7%

Arlington Rental Housing

Alexandria Foreclosure Activity

Alexandria foreclosure activitypeaked in October of 2010 with 180 filings.

The Alexandria (City) foreclosurerate of 0.07% is below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Tax Credit Market-Rate TotalProjects 19 111 130Units 1,762 41,366 43,128Vacancy 36 1,241 1,277Vac. Rate 2.0% 3.0% 3.0%

Alexandria Rental Housing

Winchester Foreclosure Activity

Winchester foreclosure activitylast peaked in November of 2010 with 88 filings.

The Winchester (City) foreclosure rate of 0.15% is above the Virginia (0.11%) rate but below the National (0.17%) rate.

Source: RealtyTrac

Source: RealtyTrac

Tax Credit Market-Rate TotalProjects 4 4 8Units 140 70 210Vacancy 0 0 0Vac. Rate 0.0% 0.0% 0.0%

Winchester Rental Housing

Central Region Rental Housing Overview

122 Total Projects: 6.0% Vacant105 Market-rate Projects: 6.4% Vacant17 Tax Credit Projects: 3.5% Vacant

Waynesboro

Charlottesville Foreclosure Activity

Charlottesville foreclosure activity peaked in July of 2011 with 66 filings.

The Charlottesville (City) foreclosurerate of 0.04% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Tax Credit Market-Rate TotalProjects 8 74 82Units 788 7,157 7,945Vacancy 29 484 513Vac. Rate 3.7% 6.8% 6.5%

Charlottesville Rental Housing

Lynchburg Foreclosure Activity

Lynchburg foreclosure activitypeaked in October of 2010 with 32 filings.

The Lynchburg (City) foreclosurerate of 0.05% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Tax Credit Market-Rate TotalProjects 4 8 12Units 517 1,698 2,215Vacancy 14 52 66Vac. Rate 2.7% 3.1% 3.0%

Lynchburg Rental Housing

Waynesboro Foreclosure Activity

Waynesboro foreclosure activity peaked in January of 2011 with 13 filings.

The Waynesboro (City) foreclosurerate of 0.06% is well below the Virginia (0.11%) and National (0.17%) rates.

Source: RealtyTrac

Source: RealtyTrac

Tax Credit Market-Rate TotalProjects 5 23 28Units 373 1,668 2,042Vacancy 16 135 151Vac. Rate 4.3% 8.1% 7.4%

Waynesboro Rental Housing

Strongest Tax Credit Rental Markets

Metro• Chesapeake• Petersburg• Portsmouth• Arlington• Alexandria• Lynchburg

All Below 3.0% Vacant

• Accomack/Northampton• Marion• Martinsville• Winchester• Wytheville• Lexington

All Below 1.0% Vacant

Rural

Patrick M. Bowen___________________________

Bowen National Research

Phone: 614-833-9300

E-mail: Patrickb@bowennational.com

Website: www.bowennational.com

Contact Information