Archives

October 2008

Energy Saving Tip #8

Posted at 11:57 AM, Oct. 24, 2008

FANtastic Idea to Stay Warmer for Less- Since heat rises you can put your ceiling fan to work (in reverse) for only pennies a day.  Turning your ceiling fans on low and in the downwards position re-circulates warm air back down into the room.  This makes the room feel warmer so you can lower your thermostate and save 5% on your heating bill.

www.homeimprovementmag.com

Market Update for Week Ending october 16th

Posted at 3:26 AM, Oct. 21, 2008

Well the market is still speaking that we have more to correct.  The current stats of the week continue to show the decline in price, but overall an increase in closing prices for condos.  Where we are seeing the greatest hit in volume and price are multi-units. 

Energy Saving Tip #7

Posted at 11:54 AM, Oct. 17, 2008

Duct, Duct, Seal- Leaky duct work can increase heating and cooling costs by hundreds of dollars a year.  By sealing leaky ducts you save two fold.  Your system doestn't have to work as hard when ducts are properly sealed.  The second being is that you can lower your thermostat setting by a few degrees and your home will feel just as warm. 

www.homeimprovementmag.com

Energy Saving Tip #6

Posted at 11:40 AM, Oct. 13, 2008

A Little Star Makes A Big Difference- Buy appliances that feature the Energy Star Label.  They cost a little more, but they are worth it.  Current models are 40% more efficient than older ones and can save up to $15 per month.  Believe it or not, the US Dept. of Energy says that using a energy efficient dishwasher is better than hand washing a sink full of dirty dishes.  Additional tips include using cold water to wash clothes, gas ranges are more efficient that electric and stacked fridge-freezer models use 10-25% less energy than side-by-side models.

www.homeimprovementmag.com

The Credit Card Sham

Posted at 5:31 AM, Oct. 10, 2008

I had to share this with everyone.  If you haven't in the past recieved one of this calls from one of your credit card issuers, wait. 

I had the ultimate pleasure of speaking with a representative from Discover Card to let me know what a preferred member I was.  From there, she assured me that this call was not to solicit an immediate response from me, but instead, wanted to send me some information about a new program designed to address the economic concerns with the public.  Namely, how to protect your credit in the event of job loss, etc. 

Now I know this isn't exactly a "new" product, I have received these calls before, just under a different name.  Here is what they promise.  In the event of say job loss, you can have your payments reduced or suspended for a designated period of time without penalty.  All this peace of mind for a mere $.89 for every $100 dollars.  Sounds pretty good right?  Wrong.

Here is what they don't tell you.  If you take for example a balance of $5,000 you will be charged monthly an additional $45 which will cost you $534 extra dollars at the end of the year.  ON TOP OF the interest you are already paying.  So, should you unfortunately need to activate such a plan, your interest AND additional fees will be accrued to your already mounting debt.  In addition, if your card is in a hold pattern, you can't use it.  This isn't a reality scenario for the average person who just lost their job and most likely has little to no savings.  Studies show people lean on their credit cards for such necessities when money is tight.  This is in no way beneficial to the credit card holder.  The banks are looking out on how they can make money off your already growing fears about the economy.  Shame!  Lastly, just by saying "ok" you can send me information to review, you inadvertently agree to be enrolled after 30 days, money back guaranteed of course.

Instead, consider taking that $45 (or more if you have higher debt or more than one card) and put it on auto savings into an account.  Some savings is better than none.  Then tell the credit card companies where they can stick their preferred customer products.

Proposed Change-Limited Time Sale

Posted at 2:35 PM, Oct. 8, 2008

For those not familiar with what I am talking about, as of October 1, 2008 FHA backed loans are no longer eligible for seller financing concessions.  Meaning, the seller of a property is no longer able to help the buyer with their down payment and/or closing costs.  This could equal up to 6% of the cost of the property.  I can tell you from experience, buyers were out in droves trying to take advantage of this opportunity before it was too late.  There were some who did not even need it but considered it an instant "rebate" on buying.  Couple that with sellers anxious to sell, many complied (and this is not a platform for the argument of inflated appraisals either).

Now I do not claim to be any financial expert and perhaps my idea is in vain, but what if it were possible for the mortgage industry (banks) where able to cooperate with the housing market by offering from now until say December 31st, 2008 locked in fixed rates from 4.5-5.25% for those that qualify (income verification and reasonable assests required) to only homebuyers.  I believe this would create an environment that would encourage those that can buy to get off the fence knowing the rates will be for a limited time.  By doing so, our current housing inventory can potentially be absorbed and thus, prices stabilize. 

Now I do think there needs to be restrictions so that the market isn't flooded with re-fis, which special rates could be offer to those in "potential" high risk similar to that of the incentive for those facing foreclosure with risky arms.  By loosening the financial "hold" of the cost of housing, confidence will increase and people will be less scared to spend.  This may even be more beneficial after the elections which is when I think many might regain their hope.  This also will prevent those from dumping their overpaid properties back into the market since price will still be king and for those selling under the 5 year bench mark but most assuredly take a loss.

When the basic law of supply and demand is back in balance, we will witness stable housing prices, moderate inventory, and consumer spending less restrictive.  Hence, jobs will be created, investments will go up and our economic equilibrium is restored. 

Any thoughts?

Energy Saving Tip #5

Posted at 11:38 AM, Oct. 3, 2008

Chill Out- Lowering the temperature setting on your hot water heater to 120 degrees can save up to $50 annually.  Tankless water heaters are an amazing innovation.  Water is heated on demand instead of constantly, saving hundreds of dollars a year.

www.homeimprovementmag.com

Chicago Market Update

Posted at 5:07 AM, Oct. 2, 2008

Here is our latest stats from the Chicago Association of Realtors and MRED.

We are still seeing a steady decline in prices since 2006.  The hardest hit was Multi-Units. 

Tax Cap for Three More Years

Posted at 5:24 AM, Oct. 1, 2008

One of the biggest challenges for homeowners is to keep ahead of the rising costs of living.  Fuel and energy bills are on the rise, so it is only natural that any increases of property taxes are enough to put many Chicagoans over the edge!  Luckily, the House Bill 664 will remain in effect for many.  What this entails is a 7% cap per year on property tax increases which will protect homeowners from runaway assessments.  It will also raise the income eligibility for seniors from $50K to $55K so that more seniors qualify for the "freeze".  Let's continue to show our support for this program which will end in 2011.