What’s Ahead For Mortgage Rates This Week – January 30, 2017

Last week’s economic news included readings on new and existing home sales and mortgage rates. Also released were reports on new jobless claims and consumer sentiment.

New and Existing Home Sales Lower in December

According to the U.S. Commerce Department, sales of new homes fell to 536,000 sales on a seasonally-adjusted annual basis. This reading was markedly lower than the expected rate of 595,000 sales and November’s reading of 598,000 sales. Analysts said that the drop in new home sales indicated that the housing sector is still experiencing a rocky recovery. December’s reading for new home sales was 10.4 percent lower than December’s adjusted reading of 598,000 sales. December’s reading was 0.40 percent lower year-over-year.

The median sale price of new homes was $322,500 in December, which was 4.30 percent higher than in November and 7.90 percent higher than in December 2015. The dip in sales has increased inventory of available homes to a reading of 5.80 months needed to sell all new homes presently available. Real estate pros typically consider a six-month supply of homes for sale a normal inventory.

In related news, sales of pre-owned homes were also lower in December. The National Association of Realtors® reported December sales at 5.49 million on a seasonally-adjusted annual basis; this reading was lower than expectations of 5.51 million sales and November’s reading of 5.65 million sales. The slower rate of sales may signal that home prices have topped out; there is also a very low inventory of available pre-owned homes for sale as compared to demand. Sales of pre-owned homes were 2.80 percent lower than November’s reading, which was the highest rate of existing home sales since 2007. Sales of pre-owned homes were 0.70 percent higher year-over-year.

Winter weather and holidays may have contributed to lower home sales in December, but higher prices, tough mortgage requirements and a low supply of available pre-owned homes were seen as obstacles to completed home sales for December.

Mortgage Rates Mixed, New Jobless Claims Rise

Freddie Mac reported higher fixed rates for mortgages last week. The average rate for a 30-year fixed rate mortgage rose 10 basis points to 4.19 percent; the average rate for a 15-year fixed rate mortgage rose six basis points to 3.40 percent. The average rate for 5/1 adjustable rate mortgage fell by one basis point to 3.20 percent. Discount points for fixed rate and 5/1 mortgages averaged 0.40 percent.

New jobless claims exceeded expectations of 250,000 new claims with a reading of 259,000 new claims and the prior week’s reading of 237,000 new claims. Analysts said that volatility is common with new jobless claims in January. There were few layoffs reported and good news that the new jobless claims rate remained below the benchmark reading of 300,000 new claims for the 99th consecutive week. This milestone was last seen in 1970.

The four-week rolling average of new jobless claims fell by 2000 to an average of 245,900 new claims filed; this was the lowest reading since 1973.

Consumer sentiment rose to 98.5 which surpassed the expected reading of 98.2 percent and December’s reading of 98.1 percent.

Whats Ahead

Multiple readings on housing and labor related data will be released this week. Scheduled releases include pending home sales, Case-Shiller Housing Market Indices and construction spending. Reports on inflation and core inflation are due along with readings on non-farm payrolls, ADP payrolls and the national unemployment rate.

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6735 E Pinnacle Vista Drive Scottsdale, AZ 85266

$1,725,000
5 Beds
4.5 Baths
3,962 SqFt
Status Active Under Contract
MLS # 6700219
Property Type Single Family Residence
Price Type --
PRICE REDUCTION!!!North Scottsdale is considered one of the most prestigious locations within the Phoenix Area. It offers beautiful desert terrain to explore and close access to luxury shopping, restaurants and cultural activities. Come check out this beautiful home, without an HOA, located in the North Scottsdale neighborhood. The property is sitting on one acre lot with so much space in the backyard ensuring all the privacy and serenity you could ask for. The front of the home features a half circle driveway and 4 car garage on the side with an RV gate for your toys or even horses! But wait till you see the beautifully custom built home. The moment you enter the residence, you will fall in love with the huge oversized windows and the natural light in the living room. The energy of your entry draws you all the way through to the backyard that's visible from the moment you step in. This home has it all! Just little under 4000 SQFt of living space, this residence includes 5 bedrooms and 4.5 bathrooms. Your master suite with an oversized closet and beautiful bathroom is your oasis. Entertain in your spacious gourmet kitchen which is a dream made for every chef, featuring stainless steel appliances including a built in refrigerator. This home truly feels like a resort. South facing backyard offers something for everybody. Enjoy beautiful evenings on the covered patio, swim in the heated pool whether it's summer or winter, relax in the spa with a waterfall boulder feature, host fun barbecue dinners or just enjoy Arizona nights by the fire pit. If you are looking to find a peaceful place just minutes away from everything that Scottsdale has to offer, then look no further.

9816 E Winter Sun Drive Scottsdale, AZ 85262

$1,724,000
4 Beds
3.5 Baths
3,600 SqFt
Status Active
MLS # 6703421
Property Type Single Family Residence
Price Type --
Welcome to Paradise! This gorgeous 4b 3.5b + office and wet bar, north south facing home will WOW you! This unique split floor plan offers beautiful views of the luxurious sparkling 40' lap pool and mountains from almost every room. A separate poolside casita, fully equipped outdoor cooking station, golf simulator and numerous sitting areas throughout the generously sized pavered and partially shaded patio areas create the ultimate year-round entertaining and relaxing space. This tastefully remodeled property has vaulted ceilings and extensive natural lighting throughout, a chef's kitchen of the highest quality complete with an oversized island, Wolf/Sub Zero appliances, and a pantry. Two large walk in closets in the primary bedroom, and a separate seating area that could easily be converted to a 2nd office are additional attractive attributes. Truly, a must see to appreciate what this stately property in a gated North Scottsdale community has to offer.

3430 S Camellia Place Chandler, AZ 85248

$1,720,000
6 Beds
4.5 Baths
5,157 SqFt
Status Active
MLS # 6723951
Property Type Single Family Residence
Price Type --
Have your own private oasis on the water. Look no further than this stunning waterfront property in the gated community of Santorini Shores. Situated on a quiet Cul-De-Sac, this single level home boasts a basement with a complete media room for all your entertainment needs. Step inside to an open floor plan that is perfect for hosting guests, featuring a dream Chef's kitchen with new Viking stove & Range, a breakfast bar, granite countertops, and ample cabinet space. The gorgeous master bedroom includes a private exit to your backyard oasis, where you can relax and unwind. Outside, you'll find a negative edge pool with breathtaking views of the lake, creating your own personal resort right at home. Don't miss this opportunity to own a piece of paradise. Solar Panels paid off

5701 E Canyon Creek Circle Carefree, AZ 85377

$1,720,000
6 Beds
5 Baths
3,597 SqFt
Status Active Under Contract
MLS # 6709953
Property Type Single Family Residence
Price Type --
Discover the epitome of luxury living in this stunning 6 bed, 5 bath estate located in a prestigious gated community at the base of Black Mountain. This property boasts a spacious 2 bed 1 bath guest house with living room, laundry area and kitchenette, perfect for visitors or extended family. The heart of the home is the large gourmet chef's kitchen, featuring top of the line Sub-Zero and Viking appliances, pot filler, double ovens, a warming drawer, and a vegetable sink built into the expansive island. Granite countertops, a large walk-in pantry, and ample bar seating complete this culinary haven. The home offers an office with a separate entry and patio, ideal for remote work or a private retreat. Each secondary bedroom comes with its own en-suite bathroom, providing comfort and privacy for everyone. The expansive master suite features Venetian plaster walls and a luxurious jetted tub, creating a serene escape. Step outside to your private oasis, complete with a oversized covered patio, heated pool and spa, and a built-in outdoor kitchen ideal for entertaining. Enjoy the serene surroundings and breathtaking views of Black Mountain from your beautifully landscaped backyard. This home offers the perfect blend of elegance, comfort, and functionality for the decerning homeowner. Don't miss the opportunity to own this exceptional property.

14828 E Valley Vista Drive Fountain Hills, AZ 85268

$1,714,999
3 Beds
3.5 Baths
3,832 SqFt
Status Active
MLS # 6677358
Property Type Single Family Residence
Price Type --
Discover this stunning hillside property boasting expansive views on the border of Fountain Hills & Scottsdale! This brand new, completed home features modern construction and design, offering luxury and livability as one of the best values in Fountain Hills. The main floor offers an open, single-level feel, complemented by a spacious walkout basement leading to a large yard bordering the desert, creating a tranquil vacation-like ambiance. Enjoy the gourmet kitchen equipped with floor-to-ceiling stacked cabinets, Monogram appliances (including fridge, gas cooktop, built-in oven, and drink fridge), a large island, and exquisite pendant lighting. The sizable master bedroom provides panoramic views and access to a spacious balcony. Pamper yourself in the master bath featuring a snail shower and a freestanding soaking tub. Additional features include Santa Fe smooth interior texture, 10' to 12' ceiling heights, professionally landscaped front and rear yards, composite wood floors, a long paver driveway, a large laundry room, tiled surround showers, upgraded lighting and plumbing fixtures, and much more. Come and experience this amazing home and breathtaking views firsthand!

1535 W Wagon Wheel Drive Phoenix, AZ 85021

$1,709,676
4 Beds
4.5 Baths
3,647 SqFt
Status Active
MLS # 6717216
Property Type Single Family Residence
Price Type --
Last new-build opportunity at Willow, Camelot Homes new gated community located in North Central Phoenix. Tucked behind the bridle path located on 15th Ave between Glendale and Northern, with breathtaking views of Piestewa Peak. You'll have the opportunity to work with an award winning design team to build the home of your dreams. Buyer's choice landscape not included in pricing.

100 W Northern Avenue Unit 7 Phoenix, AZ 85021

$1,708,308
4 Beds
3.5 Baths
3,715 SqFt
Status Active
MLS # 6737176
Property Type Single Family Residence
Price Type --
Welcome to 100 Northern! Nestled in the prime location of North Central Phoenix, this gated, NEW, unique community features 3 different floor plans and only 17 homesites. Experience the elegant sophistication and uncluttered feel of these thoughtful, light flooded designs, where soaring ceilings, sleek lines, and open spaces all converge to evoke a true sense of serene ambiance throughout the home. This spectacular 2 level ''C'' plan features owner's suite, large den, and all primary living on the ground floor with 3 additional bedrooms, 2 baths (one ensuite) and large flex loft upstairs. Subzero/Wolf appliances, Trane AC units ,and tankless water heaters all set the standard for the list of included high-end features. Heated community pool, dog park and walking path cont.... all provide the outdoor enjoyment without the upkeep, cost and work of maintaining your own. Come and claim your new address at 100 Northern, the epitome of modern luxury living!

31 W Canyon Street Apache Junction, AZ 85120

$1,700,000
3 Beds
3.5 Baths
3,800 SqFt
Status Active
MLS # 6697663
Property Type Single Family Residence
Price Type --
Step into luxury with this stunning new construction home boasting vaulted ceilings adorned with rustic beams, a testament to its craftsmanship and charm. Indulge your culinary passions in the gourmet kitchen featuring custom cabinets, not one but two islands, and top-of-the-line appliances. Seamlessly blend indoor and outdoor living with a folding patio door, leading to a spacious wrap-around covered patio, perfect for entertaining or simply unwinding in style. Enjoy the sleek elegance of smooth wall finishes throughout the home. Plus, say goodbye to restrictive HOA regulations and embrace the freedom of no HOA. With a convenient drivet-hrough RV garage, this home is tailormade for those who value both functionality and sophistication. Don't miss your chance to make this dream home yours

8633 E Via Montoya -- Scottsdale, AZ 85255

$1,700,000
4 Beds
3 Baths
3,510 SqFt
Status Active
MLS # 6741102
Property Type Single Family Residence
Price Type --
Gorgeous Custom home in gated community of Los Gatos in North Scottsdale. Situated on almost an acre of serene private desert. This home was built for entertaining with a massive formal living and dining room, stunning fireplace and art display wall with custom lighting. The beautifully remodeled kitchen is light and bright and, features quartz counter tops, loads of storage, and counter space for all the chefs in the house. The backyard is the absolute show stopper of this home. Step out onto the huge covered patio and take in the sparkling pool, gazebo, hot tub, putting greens, Basketball sport court, roof top deck, and lush mature landscaping. Breathtaking views and north/south exposure. New AC's in 2022/2024. This incredible home has it all AND has horse privileges!

8724 E Russell Street Mesa, AZ 85207

$1,700,000
5 Beds
5.5 Baths
3,770 SqFt
Status Active
MLS # 6740161
Property Type Single Family Residence
Price Type --
360 degrees unobstructed VIEWS!!! NO HOA! DETACHED GUEST HOUSE! 7 car garage! Bring all your toys to this home in The Desert Uplands of Mesa! Lifestyle here is exceptional with a blend of tranquility & convenience. Nearby stores, restaurants, hiking & boating at Tonto National Forest & Usury Mountain Regional Park. All million $ plus homes. Experience elegance & comfort in this magnificent 5-bedroom, 4.5 -bathroom residence on a sprawling 1.22-acre lot! 2 story entry w/ elegant stairwell. Formal LR & DR with updated modern flooring. 2022 kitchen remodel offers white shaker cabinets, viking stove, lg prep island, true butlers kitchen & pantry. Family room has huge windows, gas FP & open to the kitchen. 1st floor office, bedroom & full bathroom. Attached 4 car extended garage. GUEST suite is detached & private. Guest suite: great room, full kitchen with island & informal dining area, full bedroom & bathroom. Has a page storage room & attached to full access to second garage. This home boasts MOUNTAIN, SUNRISE, SUNSETS & CITY LIGHT VIEWS from multiple view decks & form inside the home. Fenced in back yard has extended covered patio's built in BBQ, heated spa and diving pool. Bring all your toys!! No HOA!!

8588 W Gambit Trail Peoria, AZ 85383

$1,700,000
4 Beds
3.5 Baths
4,544 SqFt
Status Active Under Contract
MLS # 6753922
Property Type Single Family Residence
Price Type --
Step into this exquisite 4,500 sqft home, where sophistication meets comfort. The residence features an impressive layout with four bedrooms and three and a half bathrooms. The home features a spacious and elegant design, with charming architectural details throughout. The expansive primary bedroom suite offers a luxurious private sanctuary, with a balcony overlooking the panoramic mountain views. The spa-inspired primary bathroom, adorned with elegant tile flooring and bathed in an abundance of natural light, promises a serene retreat. Three additional bedrooms provide ample space and privacy for family and guests. The gourmet kitchen is a culinary enthusiast's dream, equipped with high-end appliances, generous counter space, and an open stylish layout that seamlessly integrates with the dining and living areas. Exposed brick walls and rustic charm enhance the home's unique character, creating a warm and inviting atmosphere. The living space is highlighted by a charming fireplace and vaulted ceilings, providing a cozy and welcoming ambiance. Elegant lighting fixtures and luxurious flooring throughout the home contribute to the overall sophisticated aesthetic. The outdoor living space is equally impressive, featuring a covered patio, outdoor kitchen with a fireplace, a pool, a spa, and an outdoor shower. The lush landscaping and stone accents create a serene and private oasis, while the mountain and city views offer a stunning backdrop. Additional features include a spacious five-car garage, a loft, a bar, and an outdoor courtyard, making this home ideal for entertaining. Fully renovated with semi-custom finishes, this property seamlessly blends modern conveniences with timeless elegance. Experience the epitome of luxury living in this remarkable home.

10323 E Buckskin Trail Scottsdale, AZ 85255

$1,700,000
3 Beds
3.5 Baths
3,656 SqFt
Status Active Under Contract
MLS # 6751421
Property Type Single Family Residence
Price Type --
Unobstructed MOUNTAIN VIEWS, spectacular SUNSETS & dancing CITY LIGHTS await in this SIX CAR GARAGE custom home in the gated North Scottsdale community of Eagles Glen. The living room, with a grand stone fireplace,16-foot ceiling and sliders opens to the expansive patio, for ideal indoor/outdoor living. The executive office features built-in custom cabinetry & a curved wall of windows, providing a sophisticated workspace. The formal dining room, or club chair seating area, offers a built-in dry bar, custom cabinetry, & additional wall of curved windows. The open-concept family room showcases another stone fireplace and flows into the highly functional kitchen with a breakfast bar with seating for 6, custom alder cabinetry & breakfast room bathed in cascading sunlight with mountain views. The primary retreat is a sanctuary with a double door entry & private patio access, offering a peaceful escape. Plus a spacious primary ensuite with walk-in shower and custom walk-in closet. Two additional bedrooms with ensuite bathrooms & a powder room provide ideal comfort for guests. Step outside to your private oasis with STUNNING mountain vistas on a nearly one-acre lot, complete with a heated pool, waterfall feature, covered pavered patio, flagstone decking, gazebo, fire pit & mature natural desert landscaping! Car enthusiasts will be delighted by the impressive 1500 square foot SIX CAR tandem garage plus a large storage room. The home's beautiful natural schist stone and wood-look tile floors are complemented by new carpet in the guest bedrooms & light & bright fresh neutral interior paint throughout. This home features an inviting ambiance of warmth & comfort surrounded by breathtaking views. It is located close to golf courses, fine dining, shopping & hiking, offering the perfect blend of luxury & convenience.

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