Settlements can inherit different kinds of states. These are not limited to one at a time, as such a settlement can inherit multiple states at the same time.
These states can affect the offered prices for trade and other items, the availability of recruits, as well as being an indicator of which type of contract this settlement is likely to have available. Percentages mentioned below (for states that affect trade) are applied multiplicatively (unless stated otherwise in table below) on base price modifiers for that settlement (ie a settlement that usually has a selling price modifier of 19.6% (all regular items sold at 19.6% of worth) will now have a selling price modifier of 21.6% in the event of Ambushed Trade Route (+10%)).
More item availability increases the chance of any item being offered. This also increases the chance for named items to be sold.
Less item availability decreases the chance of any item being offered. This also decreases the chance for named items to be sold or makes it even impossible.
The roads leading here are unsafe of late, and many a caravan has been ambushed and plundered. With little successful trade, the selection of goods is lower and the prices higher.
+20% buying prices +10% selling prices −25% items available
The city council ordered a time of food, drink and games for everyone to keep the population happy. Food and drink are easy to come by, gladiators are flocking to the city, and arena fights pay more than usual.
+50% food available -10% food prices Gladiators are more likely to be available for hire.
This place has recently been conquered. Many lives were lost, and the survivors had to endure the conquerors taking their spoils of war. Much of the settlement is still damaged, and spirits are low.
There's a procession of cultists going through the city; a steady stream of people seemingly manifested themselves out of thin air and now slowly makes its way along the main roads. Clad in muted colors they ring bells and chant monotonously the name of Davkul.
Cultists are more likely to be available for hire.
Villagers have been disappearing from this town, putting everyone on edge. Fewer potential recruits available are to be found on the streets, and people deal less favourably with strangers.
+25% buying prices −25% selling prices −50% recruits available
With a local conflict now solved, many levied troops and their weapons are no longer needed. A good time to grab a bargain or hire experienced new men.
Greenskins are terrorizing the surrounding lands, and many lives have been lost as orcs or goblins continue to raid outlying farms and raze caravans. Supplies are beginning to run low and people become desperate.
A tragic accident occured, and there was a cave-in in one of the mines. Production came to a halt until the damages are repaired, and miners are without means to feed their families.
+25% recruits available. Miners are more likely to be available for hire. Gemstones and Copper Ingots are not available for sale.
The area around the city has been infested with swarming serpents, some especially large. Trade has suffered and goods have become more rare and expensive.
+10% selling prices −15% items available Contract to hunt down Serpents.
Order has been given to muster troops for service in this settlement. Equipment and recruits available are in short supply, but a quick crown can be made by selling arms and armor here.
+25% buying prices +25% selling prices −50% items available −50% recruits available
A public execution is not to be missed and provides entertainment for the whole family. Food and drink are abundant during such an occasion, but merchants may also try to take advantage of spectators.
This place has been razed. Many of its inhabitants lie slain, and any valuables have been plundered.
Only possible if permanent destruction option is turned off. A razed settlement has absolutely nothing to offer. This settlement will eventually return to its normal state. (verification needed)
With the war raging, a constant stream of refugees is pouring into this settlement. It puts a strain on local economy, but it also means cheap recruits available for anyone that can offer work.
−25% food available +25% food prices −10% items available Refugees are more likely to be available for hire.
Some lucky miner struck a particularly rich vein! Extraction of minerals and metals will be greatly increased until it is exhausted, but the settlement also experiences an inflation of prices.
Traders from far and wide gather here for the seasonal fair. Lots of people flock here from the surrounding countryside, and it's a great time to sell goods or rummage through plentiful offers.
+25% buying prices +25% selling prices +25% items available +25% recruits available Peddlers are more likely to be available for hire.
The indebted, the slave class of the city states, have taken up arms and rise against their masters! Indebted are hard to come by, and weapons and armors have been swept from the market.
Snow storms have more or less isolated this settlement from trade. Because few new goods have been coming in, the selection is lower and prices are higher.
+20% buying prices +10% selling prices −25% items available
The villagers here are terrified of unknown horrors. Fewer potential recruits available are to be found on the streets, and people deal less favourably with strangers.
+25% buying prices −25% selling prices −50% recruits available
A fiery spectacle, witch burnings attract spectators, and spectators attract food stands. And then, there's bound to be a number of witchhunters in town...
+35% food available +15% food prices Witchhunters are more likely to be available for hire.
+25% buying prices
−25% selling prices
−50% recruits available
−25% items available
+100% food prices
+50% food available
+50% incense prices
Gemstones and 
Copper Ingots are not available for sale.
−50% quality wood available
+35% quality wood prices
+50% minerals available
+200% medicine buying prices
Gladiators are more likely to be available for hire.
Witchhunters are more likely to be available for hire.