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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1 Howell Avenue Bisbee, AZ 85603

$1,670,000
6 Beds
8.5 Baths
5,098 SqFt
Status Active
MLS # 6712946
Property Type Single Family Residence
Price Type --
Stunning & very well maintained Multi-Use Historic Building in the heart of Bisbee AZ's Historic District. 6 Bedrooms 8.5 bathrooms, separate office. Run a business & live upstairs in one of the best climates of S. Arizona! At a desirable 5,500 ft elevation you can experience all 4 seasons, gorgeous mountain views, world-class birding & hiking, award winning restaurants & quaint coffee shops. Bring your family & friends & make this a destination home! Want short term rentals? This is the space to do it! Currently operated as a highly successful boutique hotel w/ a manager & staff in place. 60 seat Restaurant space comes w/ all existing equipment. Zoned Commercial, however the possibilities are endless, convert to a huge living space or have retail downstairs, live upstairs. This is it! *Room 3 upstairs is a full apartment with complete kitchen. Seller Carryback Financing terms available for qualified buyers.

8901 N 87th Court Scottsdale, AZ 85258

$1,669,000
4 Beds
3 Baths
2,706 SqFt
Status Active
MLS # 6754801
Property Type Single Family Residence
Price Type --
Welcome Home to this Gorgeous Fully Remodeled Modern 4 Bdrm, 3 Bath Home w Great Room, Living Room, Formal Dining, Chef's Kitchen w/ Decton Countertops, Diving Pool, Putting Green, and Custom Features all on a Cul-de-Sac Lot! The home underwent a full remodel in 2020 including windows and roof replacement and owners continued remodel by adding a 3rd bathroom. The 4th bedroom or in-law quarters comes complete with a private entrance and is perfect for extended family and guests. Spend countless hours entertaining in the amazing backyard with the 10 foot deep pool, 20X40 covered ramada and golf putting green. This home combines luxury and practicality, making it the perfect choice for any buyer seeking comfort, style and outdoor living at it's finest all in the school district w the 3 Cs

16522 N 109th Street Scottsdale, AZ 85255

$1,665,000
4 Beds
3 Baths
3,597 SqFt
Status Active
MLS # 6724674
Property Type Single Family Residence
Price Type --
Beautifully Renovated 4 Bed, 3 Bath Expanded Floorplan Home in McDowell Mtn Ranch. Open floor plan with a Huge Entertainment area encompassing the Kitchen, Dining and Family Room. Renovated Kitchen with 8 Burner Meile Range with Double Oven, 3rd Oven/Microwave Combo, Upgraded Professional Rangehood, Dishwasher, New Refrigerator, Quartz Countertops, Farm Sink, RO, Full Pantry, Full Tile Backsplash, Under-cabinet Lighting, Renovated cabinets, Beverage Center w/Wine Refer, Huge Quartz Island with seating, Wide Plank European Oak, 3 Renovated Baths in the Contemporary Style, Master Bath Features Matte Marble Tile with Wainscot, Forced Air Kohler Tub (no tubes) His and Hers Walk in Closets, Separate Water Closet, Huge Master Bedroom with Seating area, Wood Shutters, Electric Shades in Family Electric Shades in Family and Front Room, Office with Wall to Wall to Wall built-ins, Large Den with Built in Guitar or Art Case with Accent Lighting, Lush Back Yard that Borders NAOS, Huge Free-Form Pool, Extended Covered Patio, Seating area with Firepit and BBQ and City Light Views. Seller will pay off Solar Lease at COE and Buyer will have payment free, warrantee'd solar service for the remaining length of the lease (aprox 8 years) at which time Buyer can cancel and have the system removed free of charge or continue as they wish!

40105 N 2nd Way Phoenix, AZ 85086

$1,659,000
5 Beds
4.5 Baths
5,082 SqFt
Status Active
MLS # 6738408
Property Type Single Family Residence
Price Type --
Discover unparalleled luxury & adventure with this Desert Hills estate, offering unrivaled mountain & desert views & direct access to hiking & riding trails. This expansive 5,082 sq ft residence, on a 1-acre lot, features 5 spacious bdrms & 4.5 baths, including well-appointed jack & jill suite. On a private NS facing lot backing onto pristine State Trust Land. The property is an entertainer's dream, with a massive 6-car garage, room for toys & an attached 900 sq ft ADU/multi gen apartment complete with its own kitchen, living, & ensuite. Indulge in outdoor living with a sparkling negative edge pool & captivating waterfall, beautifully designed BBQ area & outdoor fireplace, & 3 covered patios. Full RV hookups & RV gates, three 50-amp service, & a huge upstairs living space with wet bar. Extensive updates with quart countertops in kitchen, stainless GE Profile appliances & new bathrooms, fresh interior & exterior paint, new carpet, & modernized lighting throughout. Bring your animals and toys for this exquisite desert oasis. The location is convenient and the views are amazing.

25099 S 190th Street Queen Creek, AZ 85142

$1,659,000
5 Beds
3.5 Baths
4,190 SqFt
Status Active
MLS # 6691073
Property Type Single Family Residence
Price Type --
Outstanding and Highly Upgraded CUSTOM Home Located in the Saddlewood Estates! Situated on a sprawling Huge 43,896 lot, resort style backyard with Gazebo, barbecue, fridge etc. Heated Pool with a swim up bar & a raised hot Tub. This home is ready for anything that is desired, a custom shop or play space. Inside is highly upgraded with a chef's kitchen, walk-in pantry, fireplace, formal dining, office, huge laundry room, in a split floor plan. Primary retreat is enormous w/HIS AND HERS closets, sinks & separate tub/walk in shower. The owner's suite overlooks the beautiful backyard with mountain views.. Gorgeous, spacious front yard with circular driveway and private side entry to garages, rv gate. Mtn views ABOUND! Newer Exterior Paint, Water Heater & Water Softener. A must see! amenities, shopping, entertainment, restaurants, hiking , walking paths.

5310 E Nordica Loop Flagstaff, AZ 86004

$1,650,000
5 Beds
4 Baths
3,902 SqFt
Status Active
MLS # 6710483
Property Type Single Family Residence
Price Type --
Welcome to your dream home in prestigious Lakeside Acres! This expansive one-story residence sprawls on a generous 1.1 acre lot, offering both luxury and comfort. Abundant, large windows beneath the soaring vaulted ceiling allow ample natural light as well as fabulous mountain & forest views. The chef's kitchen boasts a large island with sink, double ovens, warming drawer, large JennAir range, stainless appliances & granite. Among many other remarkable amenities, the impressive primary suite offers an additional retreat room and the split floorplan offers privacy & functionality. The whole home humidifier, central air conditioning, heat and two beautiful fireplaces ensure this home is not only stunning but luxuriously comfortable. The spacious, private outdoor living area offers a large semi-covered patio for entertaining or relaxation. With 5 bedrooms, 4 bathrooms, a 3 car garage and so much more, you will not want to miss this incredible home in the pines of Lakeside Acres in the Continental Country Club!

5224 W Creedance Boulevard Glendale, AZ 85310

$1,650,000
5 Beds
4.5 Baths
4,592 SqFt
Status Active
MLS # 6665837
Property Type Single Family Residence
Price Type --
WOW! This magnificent horse property, nestled on a one-acre lot in a tranquil cul-de-sac, offers an exceptional living experience. It features a circular driveway leading to a 5-car garage, an RV garage, and extensive parking spaces, accommodating various vehicle types with ease. The home's interior is a testament to luxury and comfort, boasting vaulted ceilings that create an airy and open ambiance. The stone floors add an element of rustic elegance, while plantation shutters provide both privacy and style. The living areas are spacious and well-appointed, featuring a wet bar, wall niches, and a two-way fireplace that serves as a focal point, enhancing the home's cozy yet sophisticated feel. Culinary enthusiasts will be delighted by the kitchen, which is equipped with wood cabinetry, granite counters and backsplash, stainless steel appliances including wall ovens, and a large center island with a breakfast bar, making it a perfect space for both cooking and socializing. The main bedroom is a haven of relaxation, complete with a sleek bathroom that includes a soothing tub and dual sinks. Additional bedrooms are thoughtfully designed with built-in cabinets and desks, catering to various needs. A spacious loft with built-in cabinets serves ideally as an office or studio space. The property also features an in-law suite, offering a living/dining room, a kitchenette, a cozy bedroom with private outdoor access, a laundry area, a personal bathroom, and a loft that can be used as another bedspace, providing comfortable and independent living quarters. The backyard is a masterpiece of outdoor living, boasting a covered patio, gazebo, private putting green, built-in BBQ, multiple sitting areas, a firepit, and a fenced-in pool, offering endless entertainment and relaxation possibilities. Horse enthusiasts will appreciate the horse stalls and amenities, perfectly integrated into the spacious backyard. This property also offers breathtaking mountain and sunset views, adding to its allure. This is more than just a home; it's an experience waiting to be cherished. Come and see for yourself what makes this property so special!

4201 N 42nd Place Phoenix, AZ 85018

$1,650,000
4 Beds
3 Baths
2,920 SqFt
Status Active
MLS # 6754896
Property Type Single Family Residence
Price Type --
Experience luxury in this 2016 COMPLETE NEW BUILD nestled in sought-after Arcadia with no HOA! Upstairs, the master suite & loft create a serene retreat, complete with sauna, fireplace & deck offering stunning mountain views. Pamper yourself with 2 walk-in closets & lavish master bath. Downstairs offers bedroom with full bath enhancing modern living. Entertain in formal living & dining rooms, seamlessly connected to the dream kitchen boasting a waterfall island. Enjoy seamless indoor-outdoor living with 4-pane slider. Step outside & unwind in resort-style, low maintenance, backyard with pool, hot tub, fire-pit & built-in grill. Feel great pulling into 3-car garage using pavered driveway.

5054 E Yucca Street Scottsdale, AZ 85254

$1,650,000
4 Beds
3 Baths
2,934 SqFt
Status Active
MLS # 6753416
Property Type Single Family Residence
Price Type --
Located in the sought-after community of Eagle's Eyre, centered around a private park, with tennis, pickleball & basketball courts. Bordered by the Stone Creek golf course, is a true neighborhood where holidays are celebrated and people know one another. This gorgeous renovated home on a sprawling near half-acre of lush landscaping, shade trees, with an enormous sparkling pool, also has an RV gate. Classic timeless hardwood floors throughout & dramatic vaulted ceilings add volume. Multiple glass doors offer outdoor access points, creating the ideal Arizona lifestyle. The redesigned kitchen is highlighted by upscale stainless steel appliances, fresh white cabinetry, a custom coffee station and Cosmic Black granite with striking silver, gold & copper veining against a deep black background.

9602 E Allison Way Scottsdale, AZ 85262

$1,650,000
5 Beds
4 Baths
4,004 SqFt
Status Active
MLS # 6695491
Property Type Single Family Residence
Price Type --
Welcome to this private cul-de-sac home in the gated community of Mirabel Village! Experience this stunning property with a short film (not a photo slideshow - 2nd image click play) showcasing the elegant interior and resort-like grounds. After, further explore this impressive home with a full interior 3D walk-through. Tour this home at your own pace. New roof underlayment completed 07/2024. 1.2 acres featuring a newly resurfaced heated pool, spa, fire pit and BBQ pergola. Expansive private courtyard with fireplace and access to attached casita. Iron entry door opens to a foyer and formal living room with fireplace. The main home features 4 bedrooms, 3 full bathrooms, a total of 3 interior fireplaces, stacked stone accent walls, window shutters, soaring ceilings and built ins throughout

22415 N La Senda Drive Scottsdale, AZ 85255

$1,650,000
3 Beds
3.5 Baths
3,717 SqFt
Status Active
MLS # 6755685
Property Type Single Family Residence
Price Type --
Looking for privacy? Nestled in the gated community of Pinnacle Peak Country Club Estates, this charming 3 BR/ 3.5 BA desert retreat is situated on a quiet, private half acre corner site. You will immediately feel the tranquility & peace of this property due, in part, by the mature ficus & citrus trees. This home features 2 BR with Office/Den & 3 BA in the main house as well as a beautiful, detached 738 SF Casita which can be used for extended family or guests, as a home office, gym or studio.The gorgeous estate features Saltillo tile, wood beams and ceilings throughout, 4 fireplaces, & French doors opening from each room to covered patios for true Southwestern indoor/outdoor living. A large, sparkling pebble tech pool invites complete relaxation and a backyard just perfect for pet lovers. Enjoy the outdoors against the backdrop of Arizona's stunning landscape. The property truly embodies the essence of upscale desert living in the prestigious Pinnacle Peak community.

7151 E Rancho Vista Drive Unit 5001 Scottsdale, AZ 85251

$1,650,000
3 Beds
2 Baths
1,681 SqFt
Status Active
MLS # 6758412
Property Type Apartment
Price Type --
Warm, Inviting, Modern/Contemporary, Light and Bright... this Optima Camelview Luxury Remodel is simply a breath of fresh air. From the moment you walk inside you'll feel right at home with the abundance of natural wood / natural stone elements, huge open floor plan and abundance of floor-to-ceiling glass windows. This property boasts a very desirable split floor plan with glass enclosed study featuring custom built in murphy bed acting as a usable third bedroom. Huge Private patio perfect for relaxing or entertaining. Subzero/Wolf Appliances, Fully integrated smart home with automated blinds, nest thermostats, sonos speakers and smart tv's. Two premium side by side parking spaces. All found within the luxurious Optima Camelview Village, with it's unbeatable location & state of the art architecture/amenities. Amenities include: Two Outdoor Zen Pools, Spas & Bbqs One on each side of the community (heated year round). 24,000 sq. ft. Fitness Center (Recently Remodeled). Mens & Womens Locker Rooms w/ Steam Rooms, Showers and Private Lockers. Indoor Lap Pool & 2 Spas (Heated year round), On-site concierge, Putting green, Hybrid Basketball / Pickle-ball Court, Racquet ball court, On-site restaurant (metropolis), conference room, 24/7 Security, Reservable party room and multi-purpose fitness/yoga room.

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