5 Important Questions To Ask Before You Invest In Solar Power For Your Home

Investing In Solar Energy For Your HomeIf you’ve been considering taking your home in a green direction, April is the perfect month to make an environmentally friendly update.

Installing a solar energy system may be a very smart way to help the environment.

Plus, solar panels turn sunlight into energy that can save you money!

The federal government and many states are now providing tax incentives and rebates for installing solar panels in 2013 which make this an excellent opportunity to go green this spring.

However, there are many installers that might not have the necessary experience, so be sure to ask the questions below when searching for your solar energy system.

How many solar panel systems have they installed?

You want to make sure to find a reputable company that has significant solar experience and has successfully completed at least 50 installations.

Ask for references before you sign anything.

What is the output in kWh per year?

Many times, solar panel brands will claim to be more efficient than others.

You’ll want to weigh the annual output against the price to determine what system is going to be the most cost effective for your Oak Lawn home.

It is important to note that you should do an energy audit to see how you are using the power in your home before sizing the solar power replacement system.

You may be able to install a significantly smaller, and less costly, system if you learn how you can cut your power consumption prior to installing your new solar panels.

How long is the warranty on the panels?

Most high quality solar panel systems have a warranty of at least 25 years.

Top-of-the-line panels usually guarantee an output of no less than 90 percent after ten years and no less than 80 percent after 25 years.

Be wary of any company whose panels don’t come with a warranty.

Do they include a warranty on labor?

Many states require a warranty on labor in order to receive your rebate.

Reputable installers should have no problem including at least a 10-year warranty.

What is the final price?

Don’t get separate pricing for the parts, labor and rebates.  Get a comprehensive price, so you can directly compare the total cost and kWh per year among providers.

Also, pay attention to the difference between purchasing your solar power system versus the leasing options available. 

Leasing has become popular due to the low — or possibly no– up-front cost, but most experts agree that purchasing the system leads to a quicker payoff and return on your investment.

Taking into consideration warranties and servicing fees, the outcome should be that you choose whoever can give you the most output at the best price.

What’s Ahead For Mortgage Rates This Week – April 22, 2013

What's Ahead For Mortgage Rates This Week April 21 2013Mortgage rates fell for the third consecutive week.

According to Freddie Mac, the average rate for a 30-year fixed rate mortgage fell by two basis points to 3.41 percent as compared to last week’s 3.43 percent and 3.90 percent year-over-year.

The average rate for a 15-year fixed rate mortgage was 2.64 percent as compared to last week’s 2.65 percent and 3.13 percent year-over-year.

Falling mortgage rates were attributed to reduced consumer spending.

Last week’s economic news includes the NAHB Wells Fargo Housing Market Index (HMI), with a reading of 42 for March.

This is four points below investor expectations and two points below February’s results.

A reading of 50 or above indicates that more of the builders surveyed have a positive outlook.

March results were impacted by builder concerns over tight builder credit, a lack of available lots and increasing construction costs.

Housing Starts Increased In March

More good news for housing arrived Tuesday when the U.S. Department of Commerce issued its monthly Housing Starts report.

Housing starts for March came in higher than anticipated at a seasonally adjusted annual rate of 1.04 million, against a consensus of 933,000 and also beat February’s reported 968,000 housing starts.

Housing starts rose by 7 percent over February, and rose 47 percent over March 2012, the highest year-to-year increase since 1992.

The Federal Reserve issued its Beige Book Report which is compiled from reports by the 12 districts of the Federal Reserve.

5 districts reported moderate economic growth, 5 districts reported modest growth, and 2 reported slight economic growth.

Based on the data contained in the Beige Book Report, economists are not expecting the Fed to make changes to its current quantitative easing (QE) program of purchasing $85 billion monthly in bonds and MBS; this may help mortgage rates remain steady; when MBS prices fall, mortgage rates typically rise.

What‘s Coming Up Next

The National Association of REALTORS® releases its Existing Home Sales report for March today.

The consensus is for 5.03 million homes sold on a seasonally adjusted annual basis, and against February’s 4.98 million existing homes sold. 

Tuesday brings more housing news with the FHFA Home Price Index for February; FHFA is the federal agency overseeing Fannie Mae and Freddie Mac.

The U.S. Department of Commerce releases its New Home Sales for March on Tuesday.

The consensus is 421,000 new homes sold against February’s reading of 411,000 new homes sold.

Thursday’s Weekly Jobless claims are expected to come in at 351,000 as compared to last week’s 352,000.

Employment is a key factor in terms of consumers buying homes and qualifying for mortgage loans

Four Ways To Ensure Your House Sells Quickly And For Top Dollar

4 Ways To Ensure Your House Sells For Top DollarSelling a house in the current market can be tricky, but there are certain mistakes an owner can make that will cause a Oak Lawn home to sit still without a decent offer and cause the listing to go stale.

In order to prevent that from happening, make sure you are not making one of the following mistakes when putting your property on the market.

Overpricing

While your home may hold sentimental value, many times that value does not translate into dollars.

Be realistic about your asking price and know the details about your current market.

Look at the list price of similar houses on the market to get a rough idea of what you should ask for your property.

Make special note of the actual closing sales price as well as the time on market and listing to sales price ratio.

A licensed real estate agent can provide these details as well as give you their expert opinion based on experience and comparable properties.

Neglecting Repairs

Glaring problems with a property will cause the buyer to think the home was not properly maintained.

While it may cost some money, repairing things like holes in the walls, broken light fixtures or missing tiles can change a buyer’s entire attitude about a property.

Ask for help if you aren’t comfortable doing these things yourself.

A real estate professional will have a whole list of qualified referrals who they trust to help you get things fixed up.

Ignoring Curb Appeal

Overgrown and unweeded yards can cause potential buyers to drive right by.

Also, having junk in the front of your house or peeling paint can deter someone from considering the property.

Step across the street and take an honest look at your house – and then make necessary adjustments.

Fixing these items may be as easy as one weekend day of clean up and a little elbow grease.

And even though it’s not expensive to fix these issues, it can make thousands of dollars difference in the sale of your home.

Creating Or Allowing Foul Odors

Odorous foods, pet dander and the smell of smoke can be extremely distasteful to buyers.

Even if you are used to the smell, others entering your house will not be.

Make sure you air out the house, smoke only outdoors, and put away the litter boxes before an open house or showing.

Also, ask someone who isn’t at your home often to come in and give it a smell test.  

Brutal honesty here might hurt a little bit, but it’s a lot better than allowing this problem to prevent a quicker sale of your home.

Without even realizing they’re sabotaging a potential sale, homeowners can make several mistakes when first trying to sell their home.

To find out what you can do to make your property really stand out to potential buyers, please call a licensed real estate professional.

5 Great Questions To Ask At An Open House For Real Estate

5 Great Questions To Ask At An Open House For Real EstateAn open house gives you a great opportunity to look more closely at Oak Lawn real estate you might be interested in buying.

It also affords you the chance to chat with the owner or real estate agent so you can bring up any issues or hesitations you have with the home.

Knowing what to ask can be difficult, so below are examples of questions to ask at the next open house you attend.

Why has the seller decided to sell now?

If you ask why the seller is moving, you could learn valuable information to help determine your offer — or possibly whether or not you want to buy the home.

Knowing whether the owners are about to go into foreclosure, have experienced trouble in the neighborhood, or if they’ve retired and completely paid off the home can help you understand how urgently they need to sell their property.

Has the seller had any other offers?

Don’t forget that you are not only negotiating with the seller for a price, you are also competing with other potential buyers.

It really helps to know what you are up against.

It is important to understand that you might not get a 100% straight answer to this question as most sellers know that competition – or perceived competition – can cause a potential buyer to move forward more quickly and at a higher price.

If you’re comfortable in this discussion, you might want to try and see if you can find out the details of any other offers.

Does the property have special ownership costs?

Ask the agent or owner about the other costs associated with owning the property, such as Home Owners Association fees within a condo complex or a gated community.

It’s important to know about these extra expenses in advance so you can make an informed offer.

You may also want to ask about any pending litigation concerning the property.  Litigation is not always a deal killer, but it’s better to know the details before you sign closing documents.

What furniture and appliances are being sold with the house?

Most of the time, a seller will include their major appliances such as the refrigerator, stove and dishwasher with the home, but this isn’t always the case.

If you don’t already have these items, it’s important to know whether they are included in the purchase price.

Is there anything else that you want to leave with the home?

This is an important question to ask.  Especially if there are specific things in the home that you have a strong interest in.  

Perhaps there is custom art work or a pool table that fits perfectly in the game room.  

The seller may be eager to part with those items and include them in the sale of the home or sell them at a large discount.

The open house is a great opportunity to learn more about a home before making the decision to buy it, so be sure you ask the right questions.

3 Ways Clean Floors Can Help Sell Your Home Faster

Flooring Tips To Help You Sell Your HomeHave you ever walked into a home for sale and looked down to see stained carpet or scratched and worn flooring?

If so, you would probably agree that it doesn’t leave a positive first impression.

Imagine if you were a buyer looking at the same floor.

The right type of flooring and whether it is well taken care of can make a big difference to buyers.

If your floor is questionably clean, here are a few fixes to help remedy the issue to help your home sell quickly.

Does your home have hardwood floors?

You’re in luck. Buyers love hardwood floors and some will pay extra to get them.

If your hardwood floors are covered by carpet, painted over or showing anything but the natural wood grain, it’s time for an overhaul.

With the ability to rent large sanders and other tools, you can either refinish the hardwood floor yourself or hire a professional.

Remember, however, that hardwood floors in have a tendency to show off scratches, dents and uneven surfaces.

If you don’t think you can do an adequate job, hire a professional.

Does your home have carpeting?

If you don’t have hardwood floors, take a look at your carpeting.

If it’s stained, outdated or ragged, it might be time to pull it up and replace it.

There are many new techniques with carpet cleaning and spot repair, so check with a local carpet cleaning professional to assess your carpet before making expensive decisions.

When laying the new carpet, use high-quality carpet padding to make it comfortable to stand on.

Many buyers will kneel down and touch the floor, so make sure the carpet feels soft to the touch.

Does your home have tile floors?

Although tiles are beautiful, they typically show every ounce of old grime, dirt, chips and cracks.

Go through your home and replace any that are chipped, cracked or show significant signs of wear and tear.

Make sure the grout is clean and new looking, and use specialized tile cleaners or a steam cleaner to get rid of any stains.

Beautiful floors can go a long way toward selling Orland Park homes.

Take an honest look at yours. It might just help get your home sold more quickly and at a higher price.

As always, seeking the advice of a licensed real estate professional would be an excellent next step to plan your home selling preparations.

Home Builders Hold Great Confidence For New Homes Over Next 6 Months

Home Builder Confidence Positive 6 Month Outlook April 2013The National Association of Home Builders (NAHB) Wells Fargo Housing Market Index (HMI) report for April shows that builder confidence slipped by two points to a rating of 42 from the March reading of 44.

The Housing Market Index (HMI) measures home builder confidence in market conditions for newly built single family homes.

A reading of more than 50 indicates better than average confidence, while readings below 50 indicate that home builders have concerns about current market conditions.

NAHB Housing Market Index Results For April

Home builders expressed concern over a gap between a growing demand for homes and builders’ ability to meet the demand for new homes as housing market conditions improve.

Top concerns cited by home builders surveyed include:

  • Availability of construction credit
  • Construction costs rising faster than home values
  • Restrictive mortgage lending rules impacting would-be home buyers

Supply chains for building materials and available developed lots are also impacting home builder confidence, as they have been lagging behind increasing demand for homes since the recession and will need more time to catch up.

Six Month Confidence Forecast Strongest Since February 2007

While builder confidence fell on a month-to-month basis, home builders have a more positive outlook for the next six months.

The builder confidence reading for the next six months came in at 53 for April, which is the highest reading since February 2007.

In terms of demand for newly built homes, the home builders surveyed said that a shortage of existing homes, low mortgage rates and increasing consumer confidence are expected to improve the market for existing homes.

Consumer confidence is important to all facets of the home building and mortgage lending industries.

Buying a home is typically the largest investment that consumers make, and their confidence in the economy plays a role in their decisions about when or if they buy a home.

Regional readings for housing markets are based on a three month rolling average.

Results for April were unchanged or lower in all four regions as compared to the rolling average reported in March:

  • Northeast: The reading of 38 is unchanged from March.
  • Midwest: The reading declined by two points to 45.
  • South: April’s reading declined by four points to 42
  • West: April’s reading declined by three points to 55, but remains in positive territory.

Regional readings reflect conditions impacting only a specific area of the U.S.

Recent examples include the impact of Hurricane Sandy in the Northeast, and an ongoing lack of land available for home construction in the West.

What’s Ahead For Mortgage Rates This Week – April 15, 2013

What's Ahead For Mortgage Rates - April 15 2013Mortgage rates saw little change last week amidst mixed economic news.

Treasury auctions held on Tuesday, Wednesday and Thursday saw weak demand; this could have been caused by the FOMC minutes that were released on Wednesday.

The minutes indicated that some FOMC members supported ending the current quantitative easing (QE) program within a few months.

The Fed is currently purchasing $85 billion monthly in bonds and Mortgage Backed Securities.

If the QE program is ended, demands for bonds and MBS will decline, which usually raises mortgage rates.

Employment Numbers Show Promise For Housing Market

Thursday’s jobless claims offered some positive news for the Chicago real estate market.

Jobless claims fell to 346,000, which is well below Wall Street’s estimate of 365,000 jobless claims and the prior week’s report of 385,000 jobless claims.

As more people find work, more families become able to buy homes.

Demand for homes will boost the housing market, which is already expanding in many areas.

While higher home prices are good for the economy, higher mortgage rates may be likely to follow.

This potentially presents a “double-edged sword” to home buyers with little financial flexibility.

Slower Retail Sales Largely Due To Autos

Retail Sales, which represent approximately 70 percent of the U.S. economy, moved from February’s level of 1.1 percent to -0.4 percent in March.

Expectations were for 0.0 percent change.

The Retail Sales report exclusive of the volatile automotive sector was nearly identical except for the February’s reading of 1.0 percent.

These reports suggest that while the economy is improving in some areas, it has a way to go before it has truly recovered.

What‘s Coming Up Next?

This week, investors will be paying attention to the Consumer Price Index (CPI) and the closely-related Core CPI, which is nearly identical except for its excludes the more volatile food and energy sectors.

These reports will be released on Tuesday for March, with little change expected for the CPI and no change expected for the Core CPI as compared to February.

The CPI is considered an important indicator of inflation.

Unexpected changes in inflationary growth can cause rapid and volatile responses in the financial markets.

Wednesday brings the Fed’s Beige Book, which presents key economic data for each of the Fed’s 12 regions.

Investors watch the Beige Book for signs of the Fed’s position on economic policy during the upcoming FOMC meeting.

Jobless claims will be released Thursday with the expectation of 350,000 claims filed as compared to last week’s 346,000 jobless claims.  

6 Essential Spring Cleaning Chores to Make Your Home Shine

Spring Cleaning Tips For April 2013If the thought of cleaning your Orland Park home this spring doesn’t bring a smile to your face, you’re not alone.

To help you get going now, here is a short list of the 6 essential spring-cleaning chores.

1. Store winter clothes.

It’s time to pack away your winter clothes.

Coats, sweaters, and bulkier clothing need to be inspected, cleaned and packed away.

Store your clothes somewhere clean, cool, dark and dry.

2. Wash window treatments.

You’ll be surprised at the huge amount of dirt and grime that a thorough window cleaning removes.

Wash blinds, launder curtains that are machine washable and send drapes to the dry cleaners.

While you’re at it, dust the window casing, wash your windowsills and clean any window hardware.

3. Clean carpets and upholstery.

You need to deep clean your fabrics that have absorbed a winter’s worth of dust and germs.

Shampoo your carpets and clean cloth furniture.

Open windows to speed the drying process, which can take a day or more.

4. Wash woodwork, walls, baseboards and cabinets.

Even if the walls of your home don’t look like they need cleaning, they do.

Just enough dust clings to vertical surfaces to warrant a seasonal bath.

Using a sponge and dish-washing soap, wash the surface in sections to make sure you don’t miss a spot.

5. Clean light and ceiling fixtures.

To clean your light fixtures, remove the light bulb and fixture if possible.

Wash the glass fixtures in soap and water. Wipe the light bulbs with a rag.

If the fixture cannot be removed from the ceiling, use a damp cloth to wipe it off and then dry the fixtures.

The easiest way to clean your ceiling fans is to use a vacuum with a soft nozzle attachment.

6. Check your coils.

Caked-on dust can cause your refrigerator to overheat, so take the time to clean the condenser coil.

It’s usually found behind the toe grille.

Clean it with a long-handled bottle brush and a vacuum cleaner with a hose attachment.

Put on your favorite music and start your spring cleaning today. It’ll be done before you know it.

Then you can relax and enjoy your sparkling clean home.

If you’re getting ready to sell your home and need more cleaning tips to help smooth the sales process, call your favorite licensed real estate professional today!

Fed Meeting Minutes Reveal Rising Wealth Among Homeowners

Federal Open Market Committee Minutes Released 4-10-2013The minutes for the Federal Open Market Committee (FOMC) meeting held March 19 and 20 were released on Wednesday April 10, 2013.

These periodic meetings by the FOMC cover a wide ranging group of topics that impact the overall economy in the United States.

The decisions made and acted upon from the FOMC meetings often sway the real estate and residential financing markets.

Some highlights of the recent FOMC minutes for the March meeting include:

Jobs and Unemployment Gaining Steam

The unemployment rate fell to 7.7 percent in February.

While lower than the average unemployment rate for Q4 2012, the rates of long-term unemployment and part-time employment for economic reasons saw little change, and both measures remained high.

This suggests that the economy is improving in some areas, while others including employment are not so quick to recover.

Housing Markets Looking Robust

U.S. housing markets continued to improve during the inter meeting period, but construction of new housing faced obstacles including tighter credit and in some areas a lack of available building space.

While housing prices are improving, employment rates and wages will also need to expand for consumers to keep pace with rising home prices.

Some of the Fed Meeting participants continued to be very positive about the prospects of the real estate sector noting rising home prices and demand.

At the same time, an overall tone of restraint and caution was expressed regarding the continuing purchase of Mortgage Backed Securities (MBS).

Any slowing in the Fed’s commitment to their previous levels of MBS purchases may create upward pressure on Orland Park home mortgage interest rates.

Personal Finances and Consumer Confidence

Household expenditures rose modestly during January and retail sales, excluding auto sector, increased at a strong pace in February. Sales of light autos also rose.

Household wealth also increased for homeowners due to increases in home values, which is good news for current homeowners and may be an incentive for new home buyers to move forward and purchase real estate.

Recovering Economy Leads Toward Government Spending Pull Back

The FOMC minutes suggest that the Fed is not likely to end its quantitative easing (QE) program immediately, but the first quarter of 2014 was cited as a potential date for the program to end.

Gradual decreases in the Fed’s purchases of bonds and mortgage backed securities are expected before QE ends, and this could cause mortgage rates to rise as MBS prices fall.

Federal Jobs Report Shows Biggest Increase Since 2008

Federal Jobs Report Shows Robust Job Growth April 2013The Bureau of Labor Statistics (BLS) issued its Job Openings and Labor Turnover report for February on Tuesday, June 9th, 2013.

The data was mixed with preliminary figures for all non-farm jobs increasing from 3.62 million jobs in January to 3.93 million jobs in February.

This was the highest month-to- month increase in jobs since May 2008. 

Non-farm jobs increased by 399,000 jobs from 3.53 million in February 2012 to 3.93 million jobs in February 2013, an increase of 10.2 percent year-over-year.

More Jobs Means More Opportunities For Home Ownership

More jobs generally means higher incomes and stability which enable more families to buy homes and qualify for mortgage loans.

Hires between January and February 2013 rose from 4.30 million to 4.43 million hires, an increase of 2.70 percent.

Hires between February 2012 and February 2013 fell from 44.9 million to 44.2 million, a decrease of 1.6 percent.

Total non-farm job separations changed little month to month, and remained exactly the same year-over-year at 4.20 million separations.

Numbers of hires and separations surpass job numbers due to workers being hired on and/or separated from more than one job during the reporting period.

Regional Non-Farm Employment Shows Job Growth

  • Northeast: Non-farm jobs fell from 688,000 jobs in January 2013 to 647,000 jobs in February 2013, but increased year-over-year from 589,000 jobs to 647,000 jobs.
  • South:  Non-farm Jobs fell from 1.56 million jobs in January 2013 to 1.50 million jobs in February 2013. Jobs increased year-over-year from 1.34 million jobs in February 2012 to 1.47 million jobs in February 2013.
  • Midwest: Non-farm jobs grew from 712,000 in January 2013 to 780,000 jobs in February 2013 and increased from 740,000 jobs to 780,000 from February 2012 to February 2013.
  • West: Non-farm jobs increased from 806,000 to 830,000 between January and February 2013; on a year-over-year basis, jobs showed noteworthy growth from 650,000 jobs to 830,000 jobs between February 2012 and February 2013.

It’s A Great Time To Buy Or Refinance A Home

Improving labor data indicates that the economy is on the mend, but this could cause mortgage rates and home prices to rise as the economy expands.

A gradual economic recovery suggests that home buyers and others seeking lower mortgage rates and refinancing can still find favorable mortgage terms.

But it would likely be best to take advantage of the still historic home purchase and financing opportunities that are available today.

Contact your trusted, licensed real estate or mortgage professional today to learn how the growing economy can benefit your family as well.