What’s Ahead For Mortgage Rates This Week – May 23, 2016

You Ask, We Answer: 5 Ways That You Can Proactively Build and Improve Your Credit ScoreLast week’s economic news included the NAHB Housing Market Index, reports on housing starts, building reports and existing home sales. Minutes of the Federal Reserve’s last FOMC meeting were also released.

Homebuilder Confidence Unchanged, Housing Starts and Building Permits Increase

The National Association of Home Builders (NAHB) reported that builder confidence held steady with a reading of 58 in May. Analysts projected a reading of 58 and April’s reading was also 58. Builder confidence in market conditions could be slowing due to concerns over acquiring skilled labor and a shortage of developed lots. Demand for homes remains high, but a slim inventory of available properties and builder emphasis on higher-priced homes contributed to sidelining moderate income and first-time buyers.

Commerce Department reports for April Housing Starts and Building Permits issued suggest that tight housing inventories may receive some relief. April housing starts rose from a revised March reading of 1.099 million to 1.170 million starts. Housing starts increased by 6.60 percent in April. Housing starts have slowed as compared to the year-over-year period from April 2015 to 2016; housing starts increased by 10 percent for the same year-over-year period in 2015. While any increase in home construction is welcome, some analysts said that they did not expect a huge increase in home construction in coming months.

Construction of multifamily housing units rose by 10.70 percent, while single-family home construction increased by 3.30 percent. Rising rents and millennials delaying home purchases were seen as fueling multifamily home construction. As homes become less affordable, would-be buyers are continuing to rent, which places higher demand on rental units.

Pre-owned Home Sales Rise in April

Sales of previously owned homes rose by 1.70 percent in April to a seasonally-adjusted annual rate of 5.45 million sales. Sales increased by 12.10 percent in the Midwest, where homes are most affordable, and fell by 1.70 percent in the West, where homes are most costly. This development suggests that rapidly rising home prices have or will soon reach maximum levels in high-cost areas. Home prices in many areas rose rapidly in preceding months as short inventory and high demand created bidding wars and keen competition for available homes. A lack of affordable single family homes has caused some buyers to buy condos while others have put buying on hold.

Mortgage Rates Rise, New Jobless Claims Fall

Mortgage rates rose for 30-year fixed rate mortgages rose by one basis point to 3.58 percent; the average rate for a 15-year fixed rate mortgage was unchanged at 2.82 percent and the average rate for a 5/1 adjustable rate mortgage rose by two basis points to 2.80 percent. Discount points were 0.60, 0.50 and 0.50 percent respectively. Analysts are watching the Fed closely for any indication that it will raise the target federal funds rate in June, although concerns over the possibility of Great Britain leaving the European Union could cause the Fed to hold off on raising the rate. If the Fed raises the target federal funds rate, loan rates for credit cards and mortgages would also increase.

New jobless claims fell last week to 278,000 new claims against expectations of 279,000 new claims and the prior week’s reading of 294,000 new claims. Analysts said that a telecommunications strike caused the prior week’s raise in claims as striking workers who are replaced during a strike are eligible for jobless benefits.

What’s Ahead

This week’s scheduled economic releases include new and pending home sales along with weekly reports on mortgage rates and new jobless claims.

10671 E Hedgehog Place Scottsdale, AZ 85262

$4,850,000
5 Beds
5.5 Baths
6,422 SqFt
Status Active
MLS # 6660987
Property Type Single Family Residence
Price Type --
Discover the epitome of luxury living with this shovel-ready, permitted masterpiece—an unparalleled custom home nestled atop a mesmerizing south-facing 2+ acre view lot in Pinnacle Canyon at Troon North. Boasting an expansive 6400 sqft of living space and an additional 1300 sqft of covered patio, this unique residence encompasses 4 bedrooms, 5.5 bathrooms, and a generously sized 3-car garage—all poised and ready for your enjoyment. Seize the opportunity to personalize your haven by selecting finishes and incorporating bespoke customizations. Designed by the esteemed Urban Design Group, this residence not only exemplifies sophistication but also expedites the construction timeline, saving you over a year in build time compared to starting from scratch. Don't miss the chance to call this extraordinary dwelling your own. It's more than a home; it's a lifestyle waiting to unfold. Act now and make this exclusive dream home yours.

5156 N 45th Place Phoenix, AZ 85018

$4,850,000 - 5Br/5Ba -  for Sale in Camelback Sierra, Phoenix
Open House
$4,850,000
5 Beds
4.5 Baths
4,496 SqFt
Status Active
MLS # 6753530
Property Type Single Family Residence
Price Type --
Welcome to this exquisite 5-bedroom, 4.5-bathroom estate, boasting 4,496 square feet of luxurious living space on a sprawling 0.56-acre lot. This architectural masterpiece, completely rebuilt in 2024, with interiors by Joel Contreras Design, offers unparalleled elegance and comfort. The expansive great room, over 2,000 square feet with 16-foot ceilings, seamlessly blends the living, dining, and family areas and features stunning views of Camelback Mountain, creating an inviting atmosphere perfect for entertaining and relaxation. The gourmet kitchen is a chef's dream, featuring Thermador appliances, Vadara Quartz countertops, Shinnoki cabinetry, a 15.5-foot island, and a convenient pot filler. A versatile bedroom suite on the south side serves as an excellent second primary suite or guest retreat. The primary bedroom includes an en-suite bath, custom closet, and direct access to the stunning heated pool. The front yard features a large pool, outdoor kitchen, and dual gas fireplaces, while the backyard offers a more intimate setting with a private patio and a glimpse of Piestewa Peak. Additional features include a temperature-controlled 4-car garage with epoxy flooring, a well-appointed laundry room with dual washers and dryers, and custom Arcadia commercial-grade sliders throughout. The exterior and interior T&G details showcase durable, medium-textured Red Grandis wood, enhancing the home's timeless appeal.

4414 E Vermont Avenue Phoenix, AZ 85018

$4,839,999
4 Beds
4.5 Baths
4,299 SqFt
Status Active
MLS # 6745148
Property Type Single Family Residence
Price Type --
Discover Modern Desert living in this luxurious home located in the heart of Phoenix's Camelback Corridor. Built in 2021. This contemporary home has 4 bedrooms 4.5 baths, and 2 dedicated offices within its split floor plan. The great room and hallways feature impressive 13.5'-0'' ceilings, creating an expansive and open atmosphere. The chef's Kitchen is perfect for entertaining with top-of-the-line appliances and ample counter space. Car enthusiasts will appreciate the convenience of the four-car garage, while great room and rooftop deck offers breathtaking views of Camelback Mountain. The exposed block work adds architectural charm to the design blending seamlessly with the natural desert landscape. This home offers quick and easy access to explore all that the vibrant city of Phoenix.

10023 E Filaree Lane Scottsdale, AZ 85262

$4,800,000
5 Beds
5.5 Baths
5,411 SqFt
Status Active
MLS # 6785079
Property Type Single Family Residence
Price Type --
Golf Membership Available- We are thrilled to announce the commencement of construction on this extraordinary custom home. Receive your full golf membership immediately and enjoy the opportunity to make your selections on finishes —move-in ready in just nine months. Crafted by esteemed builders, Black Stone Development, in collaboration with Graffin Design, this residence promises to be a contemporary masterpiece within the prestigious Desert Mountain community. Highlighted features of the main home include a spacious great room seamlessly connected to a formal dining area, an opulent chef's kitchen, 4 bedrooms, and 4 ½ baths. Ascending to the second level, you'll find a versatile study/lounge, a flex exercise room (with closet space, doubling as a potential 5th bedroom), and an expansive roof deck off. Additionally, a separate casita with a full bath ensures privacy for both homeowners and guests alike. Step into the ultimate outdoor retreat, complete with a magnificent pool and spa, multiple fire pits, serene water features, an outdoor kitchen, and charming patios that perfectly encapsulate the quintessential Arizona lifestyle. Car enthusiasts will appreciate the four-car garage, supplemented with ample storage space. Every detail of this home has been meticulously planned to enhance your living experience. Early buyers will have the unique opportunity to provide input on customization and select interior finishes to tailor the home to their preferences. Don't miss out on this exceptional opportunity to own a piece of Desert Mountain luxury living. Golf membership available at increased price.

9504 N Desert Wash Trail Fountain Hills, AZ 85268

$4,800,000
4 Beds
4.5 Baths
5,607 SqFt
Status Active
MLS # 6774104
Property Type Single Family Residence
Price Type --
Gurczak Luxury Development is proud to present this New Construction Formal Mediterranean Spec Home in the Exclusive Guard Gated Community of Firerock Country Club. This 5,607 Sq. Ft. Home Features 4 Bedrooms w/ ensuite bathrooms, a separate powder room which includes an infrared sauna + a separate Den/Game Room. Each room contains a custom ceiling design - Coffered Ceilings, Floating Ceilings & Ceiling Bands. Oversized 4 Car Garage has ample space for all your toys and includes a bonus storage & workshop area. Estimated completion of January/February 2025.

44030 N Cottonwood Canyon Road Cave Creek, AZ 85331

$4,800,000
5 Beds
6 Baths
5,079 SqFt
Status Active
MLS # 6656613
Property Type Single Family Residence
Price Type --
FANTASTIC NEW PRICE 9/24 NEW MOUNTAINSIDE LUXURY HOME IN THE HILLS OF CAVE CREEK - 10+ ACRES - MESMERIZING CITY LIGHT VIEWS - PRISTINE AND UNOBSTRUCTED DESERT / SAGUARO CACTI / CANYON / MOUNTAIN VIEWS! Nestled near Elephant Mountain and minutes to the incredible Spur Cross Recreation / Conservation Area, this newly constructed 5,079 sq ft luxury custom home has some of the best views in the Valley of the Sun. Rare to find almost 11 acres of pristine natural desert so close to the city! Situated behind both community and private custom driveway gates, this home features 5 ensuite bedrooms, a 5 car garage and is the privacy and quiet that you have been searching for. Careful attention was given to home placement for the jaw-dropping views, sunsets and sun / light exposure. (Continued. . . ) Entering the home through a beautiful 10 ft. iron and glass door, you are immediately hit with views of the hundreds of saguaro cacti, the surrounding desert mountains and downtown Phoenix in the distance. Continue past the enclosed outdoor courtyard to find yourself in the 28 foot tall cathedral ceiling of the barn style great room with giant wood beams and an oversized 60 fireplace with a 100 year old barn wood floor accent wall, creating a gorgeous everyday living and entertaining area. The chef's entertaining kitchen boasts two oversized islands with custom cabinets, beautiful quartz waterfall countertops, Wolf 60 professional double oven range with custom designed hood, SubZero side by side 72 refrigerator / freezer, SubZero wine refrigerator, 2 Cove dishwashers, a Wolf built-in microwave, and oversized farmhouse sink. An impressive butler's pantry with custom shelving, sink, additional refrigerator and Scotsman ice maker, a separate walk-in storage pantry make this kitchen and great room space perfect for gatherings of any size. Open the expansive 35+ feet of sliding glass pocket doors in the great room and kitchen area creating an amazing indoor / outdoor living and entertaining space like no other. The 2,000 sq ft of covered patio wraps around the back and eastern side of the home, giving you endless views and seating areas. From the built-in barbeque that feels like an extension of the kitchen to the two sided, resort style fireplace, pizza oven, and built-in bar area, outdoor entertaining couldn't be easier. The owner's suite is split from the other bedrooms and includes fantastic city light, desert, and mountain views. The suite boasts five large windows, a fireplace with warm floor-to-ceiling wood surround, and an ensuite bathroom with emphasis on a beautiful oversized, glass framed stand alone shower and deep, soaking tub. Passing through to the large, walk-in closet, there is custom built-in cabinetry and a pocket door leading to the laundry room. The laundry room offers plenty of storage and countertop space with two LG front load washers, two LG dryers, built-in collapsible stainless steel drying racks, a dog wash shower, and deep soaking sink. Also in the laundry is an iron Dutch door. Located near the front door and courtyard is an office with a custom, wall length, built-in bookcase. Across the foyer from the office are the four additional bedrooms. They are situated surrounding a common game / bonus room, also featuring an iron Dutch door with access to the back covered patio. Each of the four oversized bedrooms offer beautiful desert, saguaro cacti or mountain views. Walk-in closets with custom shelving, and en suite bathrooms with custom tiled showers with glass enclosures make each bedroom a private suite. The garage can easily accommodate 5 vehicles and currently offers three high speed Tesla charging stations, a water purification system, two tankless smart gas water heaters, a salt system, built-in storage cabinets, and workshop area. The garage floor has custom epoxy coating throughout. The home features a new, private well with a 2,500 gallon underground storage tank and brand new septic system. The well equipment is protected from the elements in its own well house, designed to blend in with the surrounding desert. There is a large, professionally graded lower pad that is perfect for anything you can dream of - a horse barn and arena / turn out, a future casita or in-law suite, sports courts, a resort style pool, extended playground, or car collector and RV garage. Pre-wried for all of the surround sound and smart home features you could want. And not to be missed is the attention to detail in this beautiful home - from the chandeliers and copper lighting fixtures, to the custom barn doors throughout the home and to the highest quality fixtures. It will be hard for you to not get lost in the beauty and tranquility that this home has to offer.

5518 E Sanna Street Paradise Valley, AZ 85253

$4,800,000
4 Beds
4.5 Baths
5,559 SqFt
Status Active
MLS # 6762015
Property Type Single Family Residence
Price Type --
Come check out this GORGEOUS home that is located on the golf course in the coveted Camelback Country Estates! This exquisite 5559 square ft home offers so much! From the gourmet kitchen with 2 Wolf ovens, Wolf cooktop, 2 Asko dishwashers, Subzero Frig/Freezer, custom cabinetry and quartz countertops to the abundance of amenities in this phenomenal home. The highest level of craftsmanship and detail can be found in every inch of this home. Entering the oasis like backyard through the new 16ft sliding glass doors, you're going to feel like you're at a resort. The picturesque surroundings include a stunning new pergola (which has built-in heaters for those chilly Az nights), a sprawling patio, a beautiful pool, a built in fireplace and incredible views. Your buyers won't want to leave!

4796 E Charles Drive Paradise Valley, AZ 85253

$4,800,000
4 Beds
4.5 Baths
4,904 SqFt
Status Active
MLS # 6622192
Property Type Single Family Residence
Price Type --
Designed by award-winning FAIA architect Eddie Jones of Jones Studio and fabricated by premier builder The Construction Zone, the artful fusion of modern materials, integrated into the pristine Sonoran desert is an inspired vision brought to life. Unwind with expanded mountain views and city lights to rejuvenate your soul every day throughout the years! The unmistakable inspiration of Frank Lloyd Wright and the Modernism of Jones Studio are perfectly expressed in this fine residence positioned hillside above Tatum Blvd. Facing sweeping vistas on the eastern horizon, floor to ceiling glass captures superlative views of the McDowell Mountains! The many details of the home are reminiscent of the fit and finish of a luxury yacht and yearn to be experienced for full appreciation. Surrounded by views, the home is set on 1.76 acres for privacy and has been substantially upgraded since 2019. Superbly crafted with a unique blend of masonry, steel, wood and glass: the quality of the build is evident throughout. Your epicurean kitchen is equipped with a full array of the finest Miele appliances and caters to the foodie and connoisseur alike. Top-of-the-line major systems of the home include: recently upgraded and customizable Crestron security system for complete convenience, automated window shades, variable-speed HVAC, highly upgraded EV charging over-sized 3 car air-conditioned garage, recently installed premium whole house water system, recirculating tank-less gas fired water heaters, added floor level heated vents in primary bath, lighted vanity mirrors, organizational electric plug drawers, luxurious towel warmer, elegant control systems, built in shower trays for flow and continuity. LED lighting through-out, pre-wired for sound, recent new pool system equipment installed, conversation area warming fire and so much more. A list of designer furniture will be sold with the home. The primary bedroom has been transformed with deluxe closet cabinetry, dressers, side tables, designer pulls and low-profile ambience lighting and a customized complete king bed system beyond compare. Luxury extras you expect in a fine property have also been added to the primary bath. There is a music/reading room also on the main floor. Completely redesigned, the laundry/pantry area is now an upscale, highly-functional favorite workspace. The lower level has 3 en-suite bedrooms with beautiful views, a fitness/yoga room and a media lounge space with patio access. The largest en-suite bedroom also has a separate patio entrance and could be a second primary. Panoramic mountain vistas with hanging clouds, picturesque skies and the most gorgeous sunrises, this is truly an inspirational property to be experienced.

4949 E Lincoln Drive Unit 34 Paradise Valley, AZ 85253

$4,800,000 - 3Br/4Ba -  for Sale in La Posada, Paradise Valley
Open House
$4,800,000
3 Beds
3.5 Baths
4,540 SqFt
Status Active
MLS # 6770188
Property Type Single Family Residence
Price Type --
Step into MONTELUCIA RESORT VILLA 34, a breathtaking masterpiece designed by the visionary TADDEY KARLIN OF BEVERLY HILLS, where every detail has been meticulously curated to deliver a living experience like no other. Nestled on the LARGEST ULTRA- PREMIUM LOT in the exclusive Montelucia Resort, this villa is a one-of-a-kind sanctuary that blends TIMELESS ELEGANCE with CONTEMPORARY LUXURY. From the moment you walk through the doors, you are greeted by UNRIVALED VIEWS of the majestic Camelback Mountain. The villa's design harmonizes beauty and functionality, with a focus on delivering both EXTREME PRIVACY and IMMERSIVE COMFORT. The CUSTOM CURATED FURNISHINGS can offer a truly TURNKEY EXPERIENCE where luxury and sophistication come together effortlessly. Indulge in world-class amenities from GOURMET ROOM SERVICE to THREE EXQUISITE POOLS, and the RENOWNED REJUVINATING SPA, all at your fingertips. Whether entertaining or unwinding, this villa elevates every moment, making it more than just a home  it's a retreat where your lifestyle reaches new heights. Perfect for discerning buyers who seek a harmonious blend of resort-style living and privacy, Montelucia Resort Villa 34 is the ultimate expression of REFINED LIVING in the heart of PARADISE VALLEY.

9030 N 48th Place Paradise Valley, AZ 85253

$4,799,000
6 Beds
6.5 Baths
8,420 SqFt
Status Active
MLS # 6722994
Property Type Single Family Residence
Price Type --
Set in a quiet cul de sac in the coveted 3C's school district, this impressively remodeled PV estate boasts 6 generously sized en suite bedrooms & 6.5 baths, including attached casita with full kitchen and sep entrance + attached LL guest suite with lounge and fitness room, ideal for multi-generational living! Upon entering, guests are greeted by soaring 20 ft ceilings, a formal living room, a central kitchen bathed in natural light, an office, multiple dens for relaxing movie watching, and an immense great room for large scale entertaining! Mountain Views abound in the stunning backyard w/pool, spa, outdoor kitchen, firepit and many gracious conversation patios. Car enthusiasts will love the massive 5-car garage space (2 w/hvac) . One of the LOWEST priced remodeled homes per sq ft in Paradise Valley, priced well below appraised value! This home offers the perfect blend of expansive, upscale, yet comfortable living!

19946 N 103rd Street Scottsdale, AZ 85255

$4,795,000
4 Beds
4.5 Baths
6,972 SqFt
Status Active
MLS # 6758590
Property Type Single Family Residence
Price Type --
SILVERLEAF CLUB GOLF MEMBERSHIP AVAILABLE! Nestled next to the tranquil waters of the private lake at Desert Springs Park, this home in Silverleaf embodies the timeless allure of Spanish Colonial architecture, offering a perfect blend of elegance, comfort, and charm for discerning homeowners seeking a sanctuary in the heart of Scottsdale's most exclusive community. As you approach from the private, tree lined street, your first glimpse of the home is nothing short of captivating, exuding curb appeal with its stately presence and lush, meticulously manicured landscaping. Step inside and you are delighted by interior spaces that are designed to be both welcoming and intimate, with cozy alcoves for quiet moments and larger gathering areas perfect for entertaining.

4754 E Valley Vista Lane Paradise Valley, AZ 85253

$4,795,000 - 5Br/5Ba -  for Sale in Camelhead Estates Unit 2, Paradise Valley
Open House
$4,795,000
5 Beds
5 Baths
5,129 SqFt
Status Active
MLS # 6735878
Property Type Single Family Residence
Price Type --
Arizona living at its finest. An artistically inspired estate with gated privacy and iconic Camelback Mountain views. Showcasing botanical specimens and a variety of mature trees, the resort backyard, lush setting and huggable mountain views, make for an unparalleled Paradise Valley experience. Two master suites, two guest rooms, an office and separate enclaves make for relaxed living throughout the home. The artistic attention to detail is unsurpassed. Antique hand carved doors in both the interior and exterior, exemplary painted touches throughout and a flowing floor plan make this a truly signature home. The private approach & secondary entrance highlight the cobble stone circular driveway and water features. This unique home and its stellar setting form an entertainer's delight. Photography to be updated to reflect current changes in home.