Definitely unplug all the stereo equipment. The circuit on which I was unable to program my KPL is the circuit with the entertainment system. It would be interesting to see if the lights stop blinking when you unplug the entertainment system.
My house has some definite noise problems. Using the AT004 test meter (
[Link: homeautomationnet.com]) I've seen noise levels as high as 300mV and typically no lower than 65mV. 70mV is usually considered the max for reliable operation. The fact that I am able to operate in this environment says a lot for the PCS receivers.
I really need to take an afternoon to track down and filter all my noise sources...