New light bulb rules: what they are and 3 cost-saving choices– PLUS 3 ways the job market moves housing!h

Thomas Edison's incandescent light bulb was a brilliant invention, but not very energy efficient. Just 10% of the electricity it uses gets converted into light, the rest is radiated as heat. This January, the old-style bulb got a big push toward extinction, as additional provisions of the Energy Independence and Security Act of 2007 kicked in.

The new rules do not ban incandescents outright, nor do they say we have to use compact fluorescent (CFL) bulbs. But they do require manufacturers and wholesalers to meet new standards that force them to improve the efficiency of incandescent bulbs or replace them with bulbs using newer technologies.

The new standards phase in over the next two years, with 100-watt incandescents, the first victims. The Department of Energy assures us that the average household replacing 15 traditional 60-watt bulbs with the new alternatives can save over $50 a year on electricity – and have longer lasting bulbs. Here are three choices:

Halogen Incandescents. These offer a brightness and light quality closest to traditional bulbs and should last up to three times longer than old-style incandescents. But they only cut energy use by 25%. Estimated annual cost savings: $19.50.

Compact fluorescents (CFLs). These use 75% less energy and last up to ten times longer than traditional bulbs. Estimated annual cost savings: $54.

Light-emitting diodes (LEDs). These are the state of the art in low-energy lighting. They use 75%-80% less energy and last up to 25 times longer than old-style bulbs. They're costly, but prices should drop as more come to market. Estimated annual cost savings: $57.

THE SKINNY ON JOBS AND HOUSING

Over the years, in good times and bad, the most accurate indicator for the health of the housing market has been the health of the job market. When people are working full-time in good jobs they believe they'll keep, it's good for housing too. Here are three ways labor impacts homes:

1) Home Prices. A secure and healthy employment market helps stabilize home prices, since people aren't at risk of losing their homes because they can no longer afford them. A gain in jobs also brings in more first-time home buyers, which can help home prices rebound.

2) Home Size. In a good healthy job market, businesses often compete for the best workers, driving up salaries. When people get paid more, guess where they think about putting the extra money? In a larger home!

3) Home Location. Thriving labor markets require employers to attract people from outside the local area. This is why housing markets are localized. Towns, counties and states with better job markets than their neighbors also enjoy better housing markets. Compare job growth figures and the unemployment rate in your locale to other areas and the nation as a whole. That will tell you the real health of your local housing market.

If you're wondering about the housing market in your area or have any other related questions, please call or email us. We're always here to help.... Have a great day!

PS  With the housing market poised for an upturn in more areas of the country, this could be a great time to upsize, downsize or refinance. Mortgage rates are still at historic lows and home prices are very affordable. Please call or email us now to discuss your situation.