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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10959 E Kora Lane Scottsdale, AZ 85255

$1,495,000
4 Beds
2.5 Baths
2,787 SqFt
Status Active
MLS # 6720593
Property Type Single Family Residence
Price Type --
This single level home is located within private guard gated Cimarron Hills. Its split floor plan includes a separate living and dining room and family room that opens to the center island kitchen w/Alder cabinets. The primary suite includes a nice bath with separate ceramic tiled shower, tub, double sinks and a walk-in closet. The home includes plantation shutters and a computer work or study station outside the guest bedrooms. The covered patio overlooks the low maintenance yard with a heated pool and spa. The 3 car garage includes built-in storage cabinets.

7180 E Kierland Boulevard Unit 509 Scottsdale, AZ 85254

$1,495,000
2 Beds
2 Baths
1,511 SqFt
Status Active
MLS # 6731549
Property Type Apartment
Price Type --
Welcome to Optima Kierland turn-key luxury Living. This Beautiful East Facing Unit offers spectacular views along with all the amenities & location, location! Enjoy an open floor plan with lots of space. The split floorplan offers expansive windows & walk-in closets in each suite. The outdoor patio is a wonderful place to watch the sunrise or relax in the evening. This unit includes a storage unit located on L3. Optima Kierland has amazing amenities. Rooftop Pool & Spa with scenic views of Mountains and City lights. Walking/jogging track on the rooftop. The world-class fitness center, golf simulator, 2 yoga studios, indoor basketball/pickleball & more. Shopping & Dining within walking distance.

8 E Biltmore Estate Unit 109 Phoenix, AZ 85016

$1,495,000 - 2Br/3Ba -  for Sale in Fairway Lodge At The Biltmore Condominium Amd, Phoenix
New
$1,495,000
2 Beds
2.5 Baths
2,376 SqFt
Status Active
MLS # 6747783
Property Type Apartment
Price Type --
Biltmore Fairway Lodge ground floor unit offering wonderful views of the 10th fairway at the Newly renovated Biltmore Estates golf course. Come and enjoy the Biltmore lifestyle with walking paths, hiking, world class shopping & dining at Biltmore Fashion Park, and the best-in-class Biltmore Resort all in the immediate area. The Estates golf course has been perfectly transformed and the New Adobe restaurant and golf shop are oh so cool, hip and trendy. This is the spot you want to be in! The gently lived in unit offers two spacious bedrooms, a large den and 2.5 bathrooms. Newer AC units

6333 E Desert Forest Trail Cave Creek, AZ 85331

$1,495,000
4 Beds
4 Baths
3,580 SqFt
Status Active
MLS # 6628091
Property Type Single Family Residence
Price Type --
CASITA & MOUNTAIN VIEWS! Masterpiece built on a peaceful cul-de-sac has everything you've ever dreamed of! This gem flawlessly blends contemporary sophistication & glamour. Starting with an attractive façade displaying a 2-car garage w/a paver driveway, RV gate, low care desert landscape, stone accents, & a relaxing front porch. You'll LOVE the meticulously maintained interior showcasing hardwood flooring throughout the main home, abundant natural light, & surround sound. Experience comfort & connection in the expansive great room, offering a cozy fireplace & sliding glass doors leading to the back patio. Open-concept kitchen equipped w/recessed & pendant lighting, cabinets adorned w/crown moulding, a walk-in pantry, SS appliances, granite counters, travertine backsplash, & large island with a breakfast bar. Grand owner's retreat highlights direct outdoor access, an ensuite with dual sinks, make-up desk, and a walk-in closet. Unique features of this home are the den with double doors & attached guest quarters with a separate entry, kitchen (no stove), garage and yard. The large & private backyard boasts a covered patio, seating areas, artificial turf, & an enticing pool perfect for year-round entertaining. The home features fully automated Hunter Douglas window coverings (Silhouttes and Luminettes) new exterior paint, high end lighting, wood flooring, 5 inch baseboards, custom master closet and is obsessively cared for. Words don't do it justice.

4175 Stormy Trail Prescott, AZ 86305

$1,495,000
4 Beds
3 Baths
2,825 SqFt
Status Active
MLS # 6732737
Property Type Single Family Residence
Price Type --
Completed in 2016 this Custom 2825SF Residence with a detached 2140SF Cooled & Heated 12 Car Garage w/5 Ton AC and whole house exhaust fan was built for a discerning Car Collector. The single level residence is a well planned design situated on 3+ acre parcel w/gated entry; all concrete drive parking pads in addition to a 1,008SF 3.5 Car Garage attached to the home. The residence features custom finishes, 10ft plus ceilings and 36''W interior doors and an abundance of windows for lots of natural light. The split plan has 2 Main Suites on one side with 2 Guest Rooms on the other & 2 HVAC Zones. The double sided fireplace between the Living Room and Family Room is another great feature. Formal Dining in addition to a Breakfast Nook in the Open Family Room-Kitchen concept. Kitchen features a Large Walk in Pantry, Gas Cooktop and Wall Oven. The large Laundry Room with built in cabinetry and granite countertops provides even more storage. Expansive rear covered rear Patio provides another place to relax or entertain while enjoying the views of Granite Mountain or listening to the custom waterfall fountain in the private walled in yard directly behind the home.The backyard is pet friendly and has a large portion of artificial turf. Beyond the walled in back yard is the remainder of the 3+acres (a/k/a) pasture where you could bring your horses or chickens or build another shop for your RV or Barn for horses and horse trailer. Metal Buildings are allowed in this subdivision. The property comes with a 500gal owned Propane Tank so you can purchase fuel from any provider. There is also an elaborate security system complete with cameras so when you do travel you can keep an eye on things while away. The detached 12 Car Garage was constructed with the same construction quality as the main house and features a work bench area with storage cabinets, stainless countertops and a small sink with a 3gal water heater. The main house has an new energy efficient Tankless water heater. There is radiant heat floors in the Main Suite Bath and Guest Baths. The Well produces 10 GPM because a 10 GPM pump is used for residential properties - when drilled the well production was noted at 30 GPM (see Well SPDS). Water quality was tested last year when new Whole House Filter System was installed - according to Seller no adverse elements were found. New Filtration System was installed to cut down -help with the hard water that Prescott is known for. The residence is a mere 14.8 miles to the Historic Downtown Square of Prescott; 10 miles to the nearest grocery store and for quick convenience the Old Stage Stop store with a Gas Station is only 2 miles away. Fire Station and Sheriff's Substation is also only 2 miles away. The Spa/Hot Tub on rear patio will convey.

10043 N 106th Place Scottsdale, AZ 85258

$1,495,000
3 Beds
3.5 Baths
2,363 SqFt
Status Active
MLS # 6758225
Property Type Single Family Residence
Price Type --
Experience luxury in this fully remodeled custom home, featuring 3 beds, 3.5 baths, and a convenient powder room. Every inch exudes elegance with high-end finishes, and designer bathrooms. Your gourmet chef's kitchen is outfitted with built-in custom appliances and featues a large island with a buffet window for serving. Relax by the sparkling pool, including new equipment which is surrounded by beautiful landscaping and a stylish built-in grill area that is perfect for outdoor entertaining. Enjoy year-round comfort with a brand-new A/C system, including all new duct work. This home combines sophisticated design with modern amenities for an unparalleled living experience. Embrace the perfect blend of style and luxury in your new custom dream home.

6701 N Scottsdale Road Unit 30 Scottsdale, AZ 85250

$1,495,000
3 Beds
3 Baths
2,323 SqFt
Status Active
MLS # 6692670
Property Type Townhouse
Price Type --
FABULOUS GATED CUERNAVACA!!...AN UNBEATABLE 'SCOTTSDALE ADDRESS', A LUXURIOUS, 'LOCK & LEAVE' LIFESTYLE, 'RESORT STYLE' AMENITIES..JUST MINUTES FROM THE MECCA OF WHAT OLD TOWN SCOTTSDALE HAS TO OFFER IN RESTAURANTS, FASHION & NIGHTLIFE, ACROSS THE STREET FROM AJ'S & THE 'COMING SOON' RITZ CARLTON & WITH 3 BEDS (DUAL PRIMARY SUITES), 3 BATHS, SECLUDED COURTYARD ADORNED IN GREENERY, A ROOFTOP DECK WITH ENDLESS MOUNTAIN VIEWS, THE ULTIMATE LIVING EXPERIENCE AWAITS YOU!! As you enter, you're immediately transported to what feels like the English Countryside, the open concept Living Spaces will wow you! Step into the high tech kitchen with stand around kitchen island, eat-in overlooking the front picturesque courtyard of green. Dine formally in the separate Dining Room off of the Great Room with French Doors opening onto most idyllic terrace framed in verdant landscaping, perfect for indoor outdoor entertaining. ACCOMMODATION is sensational with 2 bedrooms downstairs (one en-suite) & 2 bathrooms or escape to the primary bedroom suite, hidden away from the rest of the home private & secluded with lavish en-suite bathroom & huge walk-in his/hers closet. Perhaps have a sundowner on the rooftop patio off of the primary bedroom while taking in the spectacular views. ADD IN 2 CAR ATTACHED GARAGE, INSIDE LAUNDRY & WITH INCREDIBLE COMMUNITY AMENITIES that include Tennis courts, Pool, Spa, Fitness Center and Club House, EXPERIENCE THE THREE L's....LOCATION, LIFESTYLE & LUXURIOUS LIVING ALL ENCOMPASSED AT #30!

21390 W Sage Hill Road Buckeye, AZ 85396

$1,495,000
3 Beds
4.5 Baths
3,400 SqFt
Status Active
MLS # 6754670
Property Type Single Family Residence
Price Type --
Luxury Home for Sale in Verrado, Arizona Looking for your dream home? Look no further! We have an exquisite luxury home in Verrado, Arizona, that is sure to take your breath away. With stunning mountain views, this property offers the perfect blend of elegance and natural beauty. Features: - Three spacious bedrooms, plus a den and a bonus room, providing ample space for all your needs. - Four and a half bathrooms, ensuring convenience and comfort for you and your family. - A four-car garage, providing plenty of room for your vehicles and extra storage. - A beautiful pool that will be your oasis during the warm Arizona summers. - An amazing backyard, perfect for entertaining friends and family or simply enjoying peaceful moments, Mountain Views.

14211 S 5th Street Phoenix, AZ 85048

$1,495,000
4 Beds
3.5 Baths
4,083 SqFt
Status Active Under Contract
MLS # 6741580
Property Type Single Family Residence
Price Type --
Spectacular Hillside haven nestled in the shadows of South Mountain! Amazing views welcome you to this meticulously maintained home. An expansive split floor plan lends itself to family living. Cascading glass doors open to the backyard creating a perfect environment for entertaining! Ideal kids space or guest suite w/ a transitional bonus room adjacent to 2 secondary bedrooms. For the avid outdoor enthusiast, over 16,000 acres of trails await just beyond your front door! Kyrene schools & abundant amenities surrounding this gated community enhance the desirability of this Ahwatukee Foothills location w/ easy access to parks, shopping, freeways, city centers & airports. This distinctive home represents Arizona living at it's finest! Come see if it feels like home to you!

8510 E Santa Catalina Drive Scottsdale, AZ 85255

$1,495,000
5 Beds
3.5 Baths
3,508 SqFt
Status Active
MLS # 6739047
Property Type Single Family Residence
Price Type --
Stunning beautifully appointed home in desired Pinnacle Peak Estates! 3,500+ sf 5 bedroom 3 bath home with double door entryway, hardwood flooring, vaulted ceilings, plantation shutters throughout, built-in cabinetry and much more! This home is light and bright and perfect for entertaining. The Chef's kitchen features all white cabinetry, center island, breakfast bar, granite counters, walk-in pantry, gas cooktop, stainless steel appliances including a double oven! Split floorplan with the spacious primary bedroom including a sitting area opening privately to the backyard. With North/South Exposure, you will love entertaining in your private backyard with a large lovely covered patio overlooking your sparkling heat spa and pool. So many throughtful features in this home, especially the large laundry room with plenty of storage as well as the workshop area off of the laundry as you enter the 3 car garage - amazing amount of storage in this home! This one is special - don't miss out!

34508 N 99th Way Scottsdale, AZ 85262

$1,495,000
5 Beds
3.5 Baths
3,712 SqFt
Status Active
MLS # 6699305
Property Type Single Family Residence
Price Type --
A Contemporary Home in the Prestigious Gated Legend Trail. Located on the 13th hole of the Golf Course. While sunning at the new pool and spa with water feature or just taking in the sunset views, this home is a stunner! The high ceilings and large expansive floor to ceiling windows capture the gorgeous views at the living room, great room and owner's suite; all overlooking the backyard and perfect for entertaining. This spacious home with private owner's suite and spa-like bath with floating lit vanity cabinetry, beautifully tiled glass shower, separate free standing soaking tub and 2 walk-in closets is fabulous! Also, an additional ensuite bedroom can easily transform into a casita. Legend Trails is among Top 100 Facilities by Golf Magazine/Best Places to Play by Golf Digest Magazine

7378 E Del Acero Drive Scottsdale, AZ 85258

$1,495,000
3 Beds
3 Baths
3,472 SqFt
Status Active Under Contract
MLS # 6650859
Property Type Single Family Residence
Price Type --
This impeccably renovated villa offers a luxurious, modern resort lifestyle in convenient guard-gated Gainey Village Villas. Through the elegant gated front courtyard, step inside the grand foyer to soaring ceilings and abundant light in the great room with updated granite fireplace and bar area. The remodeled contemporary kitchen, featuring Woodmode cabinets, stainless steel appliances and quartz countertops, opens to a breakfast room bathed in sunlit windows, and a cozy den. The spacious upstairs primary bedroom with beautifully redone custom bath is split from the other two bedrooms and has a large walk-in custom closet. Two additional bedrooms are joined by an ensuite Jack and Jill bath. An additional office/4th bedroom is downstairs, with a full hall bath, to easily host winter visitors! Cozy up to the outdoor kiva fireplace and grill and dine alfresco in the private manicured yard, all with a hard-to-find 3-car garage! A must-see home in Gainey Village, where world-class restaurants and shopping are but a short walk away!

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