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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10935 E Siena Way Scottsdale, AZ 85262

$1,360,000
4 Beds
4.5 Baths
4,820 SqFt
Status Active
MLS # 6691645
Property Type Single Family Residence
Price Type --
Huge Instant Equity, Appraised at 1,800,000. Spacious Interior Courtyard leading to the Covered Patio, Double French Door Entry. Foyer opens to the Formal Living (with Fireplace) and Dining Rooms. Spacious Family Room with Stacked Stone Fireplace adjoins the Gourmet Kitchen with Breakfast Area. Split Floor Plan Primary Suite with Private Patio and Two Large Walk In Closets, Primary Bath with Split Vanities and Double Pass Through Shower. Private Study and Bonus Room located off of the Main Hallway. Private Guest Casita from Courtyard includes its own full bath. 12 Foot Ceiling Height in Most Living Areas. Wet Bar, European (Arched Top) Solid Core Interior Doors. 4 Foot Garage Extension. 4 Foot Patio Extension on Family Room Patio. Frameless Glass Shower Doors on all Showers.

261 E Bracciano Avenue San Tan Valley, AZ 85140

$1,355,000
2 Beds
2.5 Baths
2,242 SqFt
Status Active
MLS # 6692640
Property Type Single Family Residence
Price Type --
Stunning elegance, breathtaking expansive elevated golf course views, 3 CAR OVERSIZED GARAGE and this could all be yours... live in the East Valley's premier private golf course community of Encanterra CC. This incredible Create floor plan offers open concept living with 2 primary suites, walk in closets and gorgeous quartz and stone upgrades abound! Luxury vinyl plank flooring, throughout. Separate office, open great room with chef's delight, Island kitchen, SS appliances, B/I Sub Zero refrigerator. Automatic shades, triple panels wall of glass allow light to add to this resort home. Enjoy the serene back patio and yard overlooking the #16 tee box and fairway and gorgeous lights from the La Casa Clubhouse! Custom landscaping enhance this beautiful home! This will not disappoint!

4542 S Axis -- Mesa, AZ 85212

$1,351,000
6 Beds
6.5 Baths
5,154 SqFt
Status Active
MLS # 6723729
Property Type Single Family Residence
Price Type --
**VOTED BEST HOME ON TOUR** Welcome home, where luxury is found at every turn. This custom property has been meticulously designed with over $450,000 of upgrades. Enter your private portico, where top of-the-line, double iron doors lead into a breathtaking great room. The executive kitchen offers Monogram appliances, morning kitchen, 4 ovens, extended island table and walk-in pantry. The first-floor guest suite is perfect for any visitor. Upstairs is your Master Retreat with extended sitting room, spa-inspired bathroom with dual sinks, and spacious closet. Three additional en suites bookend the loft, perfect for movie night! Your attached Home+ offers its own separate entrance, attached 2-car garage, living area, kitchenette, full bath, bedroom, laundry and storage. Created for the modern family, this home has a space for everyone. Your new home offers 6 bedroom, 6.5 bath, plus loft, extended covered patio, landscaped yard, built-in BBQ, Gazebo, Garden and gas fireplace. The great room and extended formal dining offer gorgeous tile, Three Multi-slide doors providing a bright and airy feel, custom fireplace in great room, coffered ceilings, two tone paint, window coverings and built in cabinetry. Don't miss the convenient central vac and, extended driveway, handpicked granite throughout, upgraded faucets and sinks, and generous electrical outlets. Situated in Arizona's #1 Master Planned Community, you are sure to fall in love with Eastmark. This community offers a world-class resort experience with a luxurious community pool, splash pads, numerous parks, Skate park, catch and release pond, Steadfast Farm, and its very own state-of-the-art clubhouse, The Mark. The Mark hosts events throughout the year and provides a wide variety of family-friendly games. Don't miss the chance to experience luxury living and make this stunning home yours!

43909 W Us-60 Highway Wickenburg, AZ 85390

$1,350,000
3 Beds
2 Baths
1,152 SqFt
Status Active
MLS # 6725364
Property Type Manufactured Home
Price Type --
Experience the incredible lifestyle of ranch living with this exceptional property boasting custom-built barns, outbuildings, and expansive space tailored for horses and cattle. Nestled within stunning surroundings, the property borders state land on two sides and provides your own private access. The outbuildings are one of a kind, and meticulously crafted by the original and only past owners. Along with the custom brick enclosed grill, 2 smoker pits, creative tack room and all the other features that truly make this property unique and special. You will never have an opportunity to own another home like this one. With your own private well and just over 19 flat, fully fenced and flood zone free acres the possibilities are endless whether you want to keep horses or cattle. The property is also split into two parcels for additional options and opportunities. Set back right off HW60 with your own private road leading to a meticulously maintained 3-bedroom, 2-bathroom home. Don't forget the covered porches located on opposite sides of the home, perfect for relaxation and enjoyment of the serene surroundings no matter what time of day. Whether you aspire to immerse yourself in ranch life or seek the perfect horse property with ample space and privacy, this property promises the perfect blend of functionality and comfort. Seize the rare opportunity to call this place home.

901 Torreon Drive Litchfield Park, AZ 85340

$1,350,000
3 Beds
3 Baths
2,439 SqFt
Status Active
MLS # 6755635
Property Type Single Family Residence
Price Type --
Welcome to a one-of-a-kind STUNNER in old Litchfield Park! This gem was built in 2013 and has been completely redone with a luxurious design and high-end finishes! The dream kitchen boasts top-of-the-line Sub Zero and Wolf appliances, rift white oak custom cabinetry with a huge island topped with marble countertops making this kitchen as stylish as it is functional. The dining room offers a beautiful glass 80 bottle wine display. The laundry room has an integrated dog crate, lockers for extra storage as well as drawers for shoes. The master bedroom has a custom closet system and a luxurious bathroom with an adjacent den. Backyard has a putting green and diving pool! This home blends elegance and modern convenience for a truly exceptional living experience! Seize this opportunity!

26761 S 181st Place Queen Creek, AZ 85142

$1,350,000
5 Beds
3 Baths
3,000 SqFt
Status Active
MLS # 6702570
Property Type Single Family Residence
Price Type --
NEW BUILD-Approximate completion date August 2024. Enjoy the priceless views of the San Tan Mountains, 957 sq/ft detached casita with full kitchen, irrigated lot and NO HOA, YES PLEASE! Located on just over an acre in the desirable Chandler Heights District of Queen Creek. This open floor plan offers plenty of space for indoor/outdoor entertaining and also includes a den. 4 bedrooms, 3 full bathrooms. Oversized 4 car garage and abundant space finishes off this dream home. Home is currently under construction and builder is offering an allowance for the following: appliances, cabinets, counter tops, flooring, electrical and the front door. Minutes from local shopping, hiking, entertainment, Horseshoe Park & Equestrian Center and the newly build Pecan Lake Entertainment Center!

26615 S 181st Place Queen Creek, AZ 85142

$1,350,000
5 Beds
3 Baths
3,000 SqFt
Status Active
MLS # 6702571
Property Type Single Family Residence
Price Type --
NEW BUILD-Approximate completion date September/October 2024. Enjoy the priceless views of the San Tan Mountains, 957 sq/ft detached casita with full kitchen, irrigated lot and NO HOA, YES PLEASE! Located on just over an acre in the desirable Chandler Heights District of Queen Creek. This open floor plan offers plenty of space for indoor/outdoor entertaining and also includes a den. 4 bedrooms, 3 full bathrooms. Oversized 4 car garage and abundant space finishes off this dream home. Home is currently under construction and builder is offering an allowance for the following: appliances, cabinets, counter tops, flooring, electrical and the front door. Minutes from local shopping, hiking, entertainment, Horseshoe Park & Equestrian Center and the newly build Pecan Lake Entertainment Center!

1902 E Cloud Road Phoenix, AZ 85086

$1,350,000
4 Beds
3.5 Baths
2,810 SqFt
Status Active
MLS # 6740641
Property Type Single Family Residence
Price Type --
Don't miss out on this beautiful new construction home, to be built. Contract now and pick your finishes and upgrades. Spacious pull through RV garage that is connected to an additional 4 car garage. Wood-like tile plank flooring and high-ceilings throughout the home. Open concept living space with a split bedroom floor plan. Large kitchen island with space for counter seating, lots of cabinet space for storage, and a nook to be used for so many possibilities, such as a coffee bar, breakfast table, or even a window bench. Block wall enclosing the backyard for privacy (photos taken before wall was complete). This home is located across from state land, no dirt roads and great views. *PHOTOS are of previously build same floor plan.

E Weston Lane San Tan Valley, AZ 85140

$1,350,000
4 Beds
3.5 Baths
3,630 SqFt
Status Active
MLS # 6748850
Property Type Single Family Residence
Price Type --
Welcome to your dream home in San Tan Valley, AZ! This stunning new build is truly a one-of-a-kind opportunity, offering 4 bedrooms and 3.5 bathrooms with the option to build to suit. Situated on a spacious 1.25 acre lot with no HOA, this property is perfect for those looking for their own piece of paradise. Featuring builder upgrades throughout and front landscaping included, this home will boasts a luxurious feel from the moment you step inside. The open concept floor plan is perfect for entertaining guests. Plenty of room in the backyard to create the backyard of your dreams! And with a RV garage in addition to the 2-car garage, there's plenty of room for all your vehicles and toys. Don't miss out on this incredible opportunity.

1300 W Sierra Buena Court Show Low, AZ 85901

$1,350,000
4 Beds
3 Baths
3,610 SqFt
Status Active
MLS # 6743329
Property Type Single Family Residence
Price Type --
Incredible Sierra Pines gem located in the tall pines! The placement of the house, shop, with appartment and curved driveway is designed to take advantage of the terrain and enhance the beauty of the property, resulting in a one-of-a-kind location with 180 degree views from the 600 sqft custom covered deck. This layout gives the feeling of seclusion and privacy not often felt in an established community. Serenity and unique qualities were positioned to give the owner an uncompromised experience with breathtaking sunsets and panoramic views. From the moment you walk through the foyer, the rich, dark flooring throughout creates a warm, inviting feeling that accentuate the bright, airy open-concept living area. Your eyes are drawn to the expansive windows looking out to the surrounding tree top view. Enjoy a quiet moment while reading your favorite book, or experience incredible solitude while gazing at the night skies and the brilliant stars that seem so close. Sierra Pines is home to a variety of wildlife that can be seen from your windows or via the Ring cameras strategically placed throughout the property. Elk, deer, javelina, rabbit and a myriad of colorful birds make this location their home for your enjoyment. The house has a full perimeter drainage system, a reverse osmosis filtration system, a hidden wire AV system (wiring can be accessed from the pantry room). For the hobbyist, the separate shop offers everything a woodworker or handyman could ask for! Wired with 220 volt for large tools, and making use of the efficient wall space for tool storage, it's a dream come true. The shop is also outfitted for an RV with electric, water and sewer in its own parking spot. The upper level of the shop can be set up as a guest apartment, exercise studio, or a private office with a complete bathroom, refrigerator and microwave. Both the shop and upper level have been hardwired from the house for WiFi and satellite TV. A separate entrance to the upper level incorporates privacy and creates the perfect living area without disturbing the workshop. Whether you are looking for the perfect year round home or a dream mountain get-away, this is a must-see property!

6614 W Sweetwater Avenue Glendale, AZ 85304

$1,350,000
5 Beds
3.5 Baths
4,489 SqFt
Status Active
MLS # 6756750
Property Type Single Family Residence
Price Type --
Built on nearly an acre, this ranch style home was designed with love and extreme attention to detail. The gourmet chef's kitchen is perfectly placed to allow large family gatherings and every day comfort. The star of the show is the 48'' Bertazzoni gas stove complemented by gorgeous granite countertops and custom cabinetry. Your eyes will be drawn to tasteful timeless design features throughout the home. Your family and friends will have so many rooms to choose from to work, play, entertain and relax.: (click more tab for more info) Even the hallways are extra wide, giving the flow of the floorplan a sense of ease. Create your best memories in the RESORT like back yard: Earth Air Fire Water featured in every way: Earth- luscious green grass and mature fruit trees AIR-with nearly and acre there is room to breathe, run and play FIRE- built in gas firepit and lots of string lights add warmth and ambiance AND OF COURSE- WATER!! The sparking pool is heated and has an amazing grotto water slide feature. The outdoor kitchen is surrounded by plenty of seating at the bar and covered patio. As that isn't enough there is also a hot tub with gazebo. Family reunions, weddings, birthday parties will never be the same when you truly have a resort in your own back yard. The home has 5 bedrooms and 3.5 bathrooms. Authentic southwestern details add a timeless feel to the tasteful design and finishes of this stunning home. Built-in cabinets and wood features add a sense of luxury throughout the interior and exterior. So much more: New Roof RV gate Barn style workshop/ covered parking Lots of slab parking for all the toys Lots of windows Pride of ownership Flood irrigated lot Stacked stone ledger accents on exterior Gorgeous Vigas / pillars with copper accents and unique corbels En Suite on west end of home Garden tub with jets in Primary bedroom Functional, spacious, and versatile floor plan Multi generation living Extra wide hallways Block fence Mature trees Zoned AGRICULTURAL NO HOA

5244 E Hartford Avenue Scottsdale, AZ 85254

$1,350,000
5 Beds
4 Baths
3,143 SqFt
Status Active
MLS # 6744659
Property Type Single Family Residence
Price Type --
Experience this stunning 5 bed, 4 bath home located in the heart of Scottsdale. Recently refreshed w/a complete interior & exterior paint job, this residence radiates an inviting & spacious ambiance. Step inside to discover elegant luxury light fixtures adorning every room. The upper level boasts new carpeting, featuring a 2nd bed complete w/ a private bath, while beds 3 & 4 share a convenient Jack & Jill bath. The expansive master suite offers a cozy sitting area, a separate tub & shower, & a generous walk-in closet. Outdoors, enjoy a beautifully designed backyard w/ limestone flooring, a newly remodeled heated pool, Pentair technology, a gas fire feature, a 5-hole putting green, & an outdoor shower. Fully furnished w/ furniture available for purchase via a separate bill of sale.

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