Can home staging help your house sell? The National Association of Realtors finds that it just may...

The Impact Staging Your Home Has on Sales Price [INFOGRAPHIC]

Some Highlights:

• The National Association of Realtors surveyed their members & released the findings of their Annual Profile of Home Staging.
• 50% of staged homes saw a 1-10% increase in dollar value offers from buyers.
• 77% of buyer’s agents said staging made it easier for buyers to visualize the home as their own.
• The top rooms to stage in order to attract more buyers are the living room, master bedroom, kitchen, and dining room.

How can rising mortgage interest rates be a good thing?

Why Have Interest Rates Jumped to a 7-Year High?

Interest rates for a 30-year fixed rate mortgage have climbed from 3.95% in the first week of January up to 4.61% last week, which marks a 7-year high according to Freddie Mac. The current pace of acceleration has been fueled by many factors.

Sam Khater, Freddie Mac’s Chief Economist, had this to say:

“Healthy consumer spending and higher commodity prices spooked bond markets and led to higher mortgage rates over the past week.

Not only are buyers facing higher borrowing costs, gas prices are currently at four-year highs just as we enter the important peak home sales season.”

But what do gas prices have to do with interest rates?

Investopedia explains the relationship like this:

“The price of oil and inflation are often seen as being connected in a cause-and-effect relationship. As oil prices move up or down, inflation follows in the same direction.”

You may have noticed that filling your gas tank has become substantially more expensive in recent months. The average national gas price has climbed nearly $0.50 from the beginning of the year, leading to the highest price for Memorial Day weekend since 2014.

As rates go up, your purchasing power goes down, but don’t worry; rates are still well below the averages we’ve seen over the last four decades.

“Freddie Mac said this year’s higher rates have not yet caused much of a ripple in the strong demand levels for buying a home seen in most markets, but inflationary pressures and the prospect of rates approaching 5 percent could begin to hit the psyche of some prospective buyers.”

Buying sooner rather than later will help lock in a lower rate than waiting, as the experts believe rates will continue to climb. Even a small increase in interest rates can have a big impact on your monthly housing cost.

Bottom Line

If you are planning on buying a home this year, keep an eye on gas prices the next time you’re at the pump. If you start to feel a big jump in price, know that rates are probably on their way up, too.

190 Meadowlark Circle, Lindenhurst IL 60046

Lowest priced home in Country Place right now! 4 bedroom, 2.1 bath with stainless steel appliances, Brazilian cherry flooring, newer carpet. Cozy family room with gas-start fireplace. Full basement has a partially finished - only carpet is needed!

Click on photo below, to see interior pictures:
 

Why is there so much mortgage paperwork now? It's quite simple...

We are often asked why there is so much paperwork mandated by the bank for a mortgage loan application when buying a home today. It seems that the bank needs to know everything about us and requires three separate sources to validate each and every entry on the application form.
Many buyers are being told by friends and family that the process was a hundred times easier when they bought their home ten to twenty years ago.
There are two very good reasons that the loan process is much more onerous on today’s buyer than perhaps any time in history.

1. The government has set new guidelines that now demand that the bank prove beyond any doubt that you are indeed capable of affording the mortgage. During the run-up in the housing market, many people ‘qualified’ for mortgages that they could never pay back. This led to millions of families losing their home. The government wants to make sure this can’t happen again
2. The banks don’t want to be in the real estate business. Over the last seven years, banks were forced to take on the responsibility of liquidating millions of foreclosures and also negotiating another million plus short sales. Just like the government, they don’t want more foreclosures. For that reason, they need to double (maybe even triple) check everything on the application.

However, there is some good news in the situation. The housing crash that mandated that banks be extremely strict on paperwork requirements also allowed you to get a mortgage interest rate probably at or below 4%.
The friends and family who bought homes ten or twenty ago experienced a simpler mortgage application process but also paid a higher interest rate (the average 30 year fixed rate mortgage was 8.12% in the 1990’s and 6.29% in the 2000’s). If you went to the bank and offered to pay 7% instead of <4%, they would probably bend over backwards to make the process much easier.

Bottom Line

Instead of concentrating on the additional paperwork required, let’s be thankful that we are able to buy a home at historically low rates.

What do rising house prices mean to a buyer?

Housing inventory remains low, and buyer demand is beginning to rise.  A diminished supply will lead to increasing home prices.  Thinking of buying?  You may want to purchase sooner than later!

Sometimes, getting back to "normal" is a good thing...

What is the true cost of waiting?

Economists, real estate experts and strategists are forecasting that 2015 may be the year of home appreciation.  What does that mean?  As a buyer - it means that your buying power may shrink.  As a seller - it may mean that your appeal to a buyer will be stronger earlier in the year, when the buyer can get more for their money.  Coupled with the prospect of higher interest rates on mortgages, and a buyer may be considerably impacted.  To see how much, click here.

What do you really want your listing agent to tell you?

Selling your home?  It's not our awards that will help us sell your home, it's our actions.  See what KCM Blog suggests that your agent focus on, here.

Tis the season for tree lightings!

Although the outside temperatures more closely resemble Chicago in January, Thanksgiving is really less than a week away.  The arrival of Thanksgiving brings a ton of crazy shoppers, but more importantly, it traditionally marks the start of the holiday season.  Lake County is home to fabulous communities - to Villages and Cities who make a remarkable effort to provide an abundance of fabulously fun events for residents.  Many of the communities structure several hours of activities around their tree lighting ceremonies, with quite a few including parades, Santa's arrival, and performances by student bands and choirs.  And, these events help stretch your holiday budget farther - they are all FREE!

Lake County Community Lighting Festivals begin this weekend, and continue on into December. Here are some dates to mark on your calendar (for more details, visit the Lake County blog by clicking here):

November 22
Highland Park 3-5

November 28
Antioch 6-8
Fox Lake 6:30
Grayslake 5:30-8
Lake Forest 3:30-7
Libertyville 7
Round Lake Beach 6

November 29
Fox Lake Parade 11am
Lake Villa 5-7
Lake Zurich 4-6
Vernon Hills 4:30

December 5
Hawthorn Woods 6
Mundelein 6:30-8
Wauconda 6

December 6
Barrington 1-6:30
Island Lake 6
Lindenhurst 4:30-6
Round Lake 2-6
Waukegan 10-6
Winthrop Harbor 4:30

December 7
Lincolnshire 5:30-6:30

Why it's important to use a Real Estate Professional to sell...

12 items to put on your November checklist...

With temps in the 30's, and first snowfall out of the way, the timing of this checklist from Houzz is perfect. Winter is just around the corner. Is your house ready for it?

See the 12 items here

260 Cherry Cove Ln, Round Lake Beach IL

Rare offering of a full walkout basement in Country Walk!  Terrific 4 bedroom/3.1 bath home offers fantastic amenities.  Located in Lake Villa Elementary/Grade District 41 & Grayslake North High School District 127.

To see photos of this terrific home, click here

Should you refinace your mortgage?

Are you one of the over 6 million homeowners who currently has a mortgage on your home?  Are you thinking about refinancing?  If you fit the profile of one of 5 homeowners types, then you want to take action.  Click here and take a minute to read this article, to see if you fall into the "refinance now" category.

Fun (and completely useless) real estate trivia

Do you know why brass is the best metal for doorknobs?  Or what a red door in Scotland means?  Read these fun #realestate trivia facts to find out!

11 amazing real estate facts

Wonderful Wadsworth custom home on wooded acre

Mature trees from this custom built 3 bedroom home, tucked in the heart of Wadsworth.  Beautiful river rock stone fireplace highlights the great room.  The remodeled kitchen boasts an abundance of cabinets with pull-out shelving, a built-in refrigerator, and stainless steel appliances.  Soaring vaulted ceilings and a gas fireplace add to the ambiance of the master suite, complete with a large walk-in closet and spacious spa-like bath with whirlpool tub, separate shower & double sinks.  Don't miss the expansion of living space in the finished basement.  Entertaining is easy with the large bar.  The spacious family room is spacious enough to allow for a game table, and the bathroom also offers a salon sink for at-home haircuts.  Take a look!

Click here for additional photos

Fall influenced decor

Oranges, yellows & reds seem to be mostly associated with the Fall season. However, these wonderfully warm colors are great to use all year long.  Especially in colder climates, or dimly lit spaces (like the north rooms of a home).  Want to warm up your home's decor?  Take a look at some of these ideas ...

Fall Color Schemes

How much higher are interest rates today, than 30 years ago?

The answer to the above question may surprise you.  This infographic provides an interesting perspective on interest rates. Thinking of #buyingahome or #refinancing? Now may be your time...
http://ow.ly/BqTjh

Should you list now? Or wait...

Thinking of selling your home this winter?  Farmer's Almanac is forecasting a tough chicago winter season.  In case the bleak weather forecast isn't enough to persuade you to beat the winter market, how about some of these...

5 Reasons to Sell BEFORE Winter Hits

How would you like to live in this Gurnee gem?

Lovingly remodeled Georgian-influenced 4 bedroom home situated on the 9th fairway of the Bittersweet Golf Course.  Stunning custom Amish kitchen addition!

View pictures here

What is the true cost of waiting to buy a home?

 If you are thinking about buying a home, but aren't sure about the cost, this KCM article offers a different way to look at it.  Especially, for the younger buyers who are watching every penny.  Years ago, when Oprah was still on, she had David Bach on her show.  He coined the phrase "the latte factor" and wrote books and seminars on the topic.  His theory was that if you saved what you were spending on a cup of Starbucks coffee every day, you could save up some big money.  This article has a similar theme to it, providing encouragement to buy the home NOW.  It may mean sacrificing a few items in the short term, however in the long run, it should be well worth it!

http://ow.ly/AuBlV