December 2001 
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Welcome to Sue’s News! I hope this newsletter provides you with some useful information about the current North Shore real estate market, along with tips on maintaining your home. If you have any questions or suggestions on items you’d like to see in future newsletters, please contact me via email at admin@mynorthshorehome.com.
This month's features include some perspectives on:
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Sales and Market Time |
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New Local Dialing |
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Interest Rates and Mortgages |
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Home Tips |
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Thinking About Remodeling? |
HAPPY HOLIDAYS
EVERYONE!
Peace on Earth
Despite the recent economic slow down and events of September 11, 2001, the housing market is reporting a third quarter sales increase of 4.3% compared to third quarter sales of 2000.
The median home price on the North Shore has increased 10.4% from the third quarter of 2000 to the third quarter 2001. The average home price in 2000 was $402,500 and in 2001 it is $444,500. Just two years ago, the average home price on the North Shore was $354,200.
Realtor Magazine’s December issue is predicting homes sales to be stronger during the first and second quarter 2002. They are also predicting an increase in fixed mortgage rates. If you are a buyer looking to take advantage of low interest rates and a slower home market, you might want to find that new home now instead of waiting until spring!
Mark your calendars and reset your speed dials to include the full 11-digit phone number beginning January 5, 2002. We now will have to dial the full number even within our area code. 1+847+555+1234. Don’t forget to reprogram computers (internet dial-up), fax machines, home security systems, cell phones and home phone speed dialing.
Effective January 1, 2002, jumbo mortgage limits will be raised from $275,000 to $300,700. This should be a be plus for home buyers in our North Shore market where interest rates on jumbo loans are typically 1% higher than conventional loans.
FHA loan limits will also change next year. The old range for an FHA loan was $132,000 to $239,250 and the new amounts FHA will consider insuring range from $144,336 to $261,609
Now that our record-breaking 60-degree weather days are over, don’t forget to replace screens with storm windows to save on heating bills.
Some remodeling projects may not give you the return on your investment that you think. The area of the country you live in will also determine the average percentage of your return. In Chicago, for example, minor kitchen remodeling such as updating a tile floor or adding lights under the cabinets could bring you a 108% return on your investment. In comparison, the same updates in Las Vegas may only pay you a 50% return on your investment. Kitchens and bathrooms still top the list nationally for the best way to recoup your investment when updating your home. If you’d like a copy of the article, ‘2001 Cost vs. Value Report’, email me at susan@mynorthshorehome.com and I’ll send you a copy.