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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9344 E Via De Vaquero Drive Scottsdale, AZ 85255

$1,349,000 - 3Br/3Ba -  for Sale in Dc Ranch Parcel 1.13, Scottsdale
Open House
$1,349,000
3 Beds
3 Baths
2,769 SqFt
Status Active
MLS # 6727480
Property Type Single Family Residence
Price Type --
This Terraces West home is ready for move in! 3 Bedroom 2.5 bath The Master bedroom is on the ground floor! Separate Living, Dining and Family Rooms! Great open floorplan, perfect for entertaining. Wonderful N/S lot in cul de sac with no homes across the street affording extra views of the McDowells! If your looking for a DC Ranch property in the Terraces look no further, this home is ready for move in.

1500 W Pinetree Court Show Low, AZ 85901

$1,348,000
6 Beds
4 Baths
3,763 SqFt
Status Active
MLS # 6723455
Property Type Single Family Residence
Price Type --
White Mountain's Master Builder, Rick Biggins, has outdone himself with this home, ''His home''. This remarkable property is the perfect blend of elegance and sophistication coupled with the contemporary mountain retreat feeling in every detail. Driving up to this magnificent custom home, you will immediately notice the immaculate landscaping and outdoor lighting showcasing the natural beauty of this masterpiece. Located on a quiet cul-de-sac in the beautiful Sierra Pines community, you will feel the tranquility and privacy of living in the forest and a connection to community. Built in 2022, Rick didn't miss a beat as he created warmth and functionality throughout the home. The welcoming front porch ushers you into the spacious great room adorned with faux Beams in the great room

6707 N 10th Place Phoenix, AZ 85014

$1,348,000
4 Beds
4 Baths
2,700 SqFt
Status Active
MLS # 6739055
Property Type Single Family Residence
Price Type --
Don't miss this this jaw-dropping masterpiece w/ 2 main suites! Home has been beautifully rebuilt! Sophisticated interior boasts breathtaking attention to detail throughout, high-end finishes, 2 split AC units, gorgeous wood flooring, chic light fixtures, skylights, & custom closets. Floor-to-ceiling stone fireplace complements the open floor plan, making it an ideal spot for relaxation! Gourmet kitchen comes complete w/ quartz counters, a breakfast bar, custom cabinetry & floating shelves, & top-of-the-line stainless steel appliances such as a 48-inch dual chef's range. Owner's retreat showcases exposed beams across vaulted ceilings, direct outdoor access, & an elegant ensuite to make you feel like you're in a spa! Upgrades include plumbing, electrical, HVAC, roof, & foam insulation.

1101 W Fairway Drive Mesa, AZ 85201

$1,347,000 - 4Br/4Ba -  for Sale in Hillcrest Terrace Lots 1-7, Mesa
Open House
$1,347,000
4 Beds
4 Baths
3,646 SqFt
Status Active
MLS # 6721138
Property Type Single Family Residence
Price Type --
**Seller offering $40,000 to be used towards buyer's closing costs Welcome to your dream home! This spectacular property offers the perfect blend of luxury, comfort, and modern elegance. Recently undergoing a complete renovation, this stunning residence boasts breathtaking views and top-of-the-line upgrades, making it an ideal sanctuary for discerning buyers. As you step into this magnificent home, you are greeted by soaring 14-foot vaulted ceilings that open up to expansive views of Camelback and Mummy Mountain. The spacious living areas are highlighted by two cozy fireplaces, perfect for those cool desert evenings. Every detail of this home has been meticulously crafted, from the all-new flooring, framing, drywall, and paint. The entire house has has been spray foamed, ensuring optimal energy efficiency and comfort year-round. The heart of the home is its state-of-the-art kitchen, designed for both functionality and style, boasting all new GE Profile appliances, a butler, appliance vanity, and spacious pantry. With new electrical wiring, including a robust 400 amp panel, the kitchen is equipped to handle all your culinary adventures. The property also features new sewer lines, PEX water piping, and gas line piping, providing peace of mind for years to come. The primary suite highlights include a spa-like primary bath, gas fireplace, two Elfa walk-in closets with built-in storage cabinets, and more beautiful mountain views. The split layout offers ultimate privacy with two bedrooms sharing a Jack and Jill bathroom between them and an additional casita style bedroom bathroom with kitchenette and built-in desk. The den offers a quiet workspace with some original wall cabinets and views of Camelback Mountain. Step outside through your twenty foot infinity door to your private oasis, with sweeping views from South Mountain to Four Peaks, where the pool has been refinished with mini pebble tec and kool decking, flanked by double pergolas. The outdoor shower adds a touch of luxury, making it easy to rinse off after a refreshing swim. The expansive .60 acre lot offers endless possibilities, whether you dream of building a barndominium, a pickleball or tennis court, or simply enjoying the vast open space. The exterior of the home is just as impressive as the interior, with new stucco, encapsulated by an ornamental fence and ficus trees creating privacy and a green space. The large and elevated lot offers not only tremendous views but ample space for outdoor entertaining, gardening, or even constructing additional structures to suit your needs. This exceptional home is perfectly situated to take advantage of Mesa's natural beauty and vibrant community. Enjoy close proximity to top-rated schools, shopping, dining, recreational facilities, Phoenix Sky Harbor International Airport, and Old Town. Whether you are hosting a gathering with friends or enjoying a quiet evening with family, this home provides the ideal setting for every occasion.

5770 E Roundup Street Apache Junction, AZ 85119

$1,345,000
4 Beds
4.5 Baths
3,616 SqFt
Status Active
MLS # 6696539
Property Type Single Family Residence
Price Type --
Amazing fully renovated custom home in Apache Junction with acreage, no HOA, breathtaking views of the Superstition Mountains, sweeping views of the Valley below, a massive 2400sf masonry temperature controlled outbuilding with RV garage, workshop and an attached 1-bedroom casita with kitchenette, bath and laundry. With Flat Iron as its towering backdrop, the main home was taken down to its exterior studs and completely reimagined with new floor plan, all new electrical, plumbing, hvac units and ductwork, windows, doors, finishes and fixtures. The main level has an expansive great room with defined living, dining, kitchen with breakfast nook, laundry room, guest bath, primary suite with soaking tub, walk-in shower with glass enclosure, his and her closets, and private entrance to the rear yard and patio deck. There is also an additional bedroom off the great room with amazing Valley views. The Chef's kitchen features an oversized waterfall central island with tons of storage cabinets and drawers, quartz counters and backsplash, and stainless appliances including two ovens and walk-in pantry. The second level has another family room/kid zone, two large bedrooms with walk-in closets, a full bath and half bath for guests, as well as a large laundry room with sink and a large utility/storage room. Two-car, insulated garage with direct access to the home - and a separate room with built-in dog wash/grooming station. A block fence was added to the entire property with pedestrian and RV gates to the back yard with plenty of room to create an entertainer's paradise with a pool and whatever else your imagination dreams up. The lot has been leveled and graded for your toys or bring your horses and enjoy ranch living. So many options with this property - enjoy the fruits of this Seller's labors and move right in!

8425 S 10th Lane Unit 1 Phoenix, AZ 85041

$1,340,000
4 Beds
3.5 Baths
3,063 SqFt
Status Active
MLS # 6748754
Property Type Single Family Residence
Price Type --
Introducing Heard Farm at South Mountain, a brand new community of 24 modern farmhouses with sophisticated architecture designed for healthy, sustainable living! Nestled in South Mountain with quick access to downtown Phoenix, Heard Farm seamlessly blends indoor and outdoor living with fresh floor plans designed for the way you want to live.

9279 E Trailside View Scottsdale, AZ 85255

$1,340,000
4 Beds
3.5 Baths
2,806 SqFt
Status Active
MLS # 6737512
Property Type Single Family Residence
Price Type --
Enjoy the picturesque view of the large, grassy park from your front porch of this beautiful premium lot and remodeled home in a gated neighborhood within the coveted DC Ranch community. With 4 bedrooms, 3.5 bathrooms, a home office and a 3-car garage, there is ample space for your family and guests. This home has contemporary motorized solar shades and the entire HVAC system was replaced in May 2023, including programmable thermostats. Step outside to your sparkling, heated pool, spa and covered patio. Inside, you'll find stainless steel appliances, a double oven as well as a spacious, custom tile shower and a large walk-in closet in the master suite. DC Ranch offers a wide array of amenities including community centers, a heated pool, tennis courts, pickleball courts and playgrounds.

17870 E Appaloosa Drive Queen Creek, AZ 85142

$1,340,000
4 Beds
3.5 Baths
3,855 SqFt
Status Active
MLS # 6735922
Property Type Single Family Residence
Price Type --
Stunning Toll Brothers home in the coveted gated community of Dorada Estates! Impressive paver courtyard leads you into your beautiful home. This semi -custom home is light, bright & open. Featuring 10' ceilings & open concept & wall-of-glass slider to back. Luxurious wood plank tile flooring. Kitchen is a entertainer's delight w/SS appliance, 48'' gas range, hood, abundance of cabinets, Farmhouse sink & huge quartz island. This home is adorned in custom electric shades, beautiful new paint on both the interior & exterior. Additional bedrooms feature walk-in closets, Jack & Jill bath. MASSIVE 4 car garage w/ample storage. Resort backyard w/extensive pavers, pergola, outdoor fire & bistro lighting. HUGE yard large enough for a sports court or Casita **Pool Photoshopped for illustration**

11838 N 144th Way Scottsdale, AZ 85259

$1,339,900
3 Beds
2.5 Baths
2,630 SqFt
Status Active
MLS # 6702385
Property Type Single Family Residence
Price Type --
Escape to the tranquil beauty of Hidden Hills and discover your dream home nestled within this sought-after community. Perched high on a hillside, this exceptional residence offers unrivaled vistas, showcasing stunning sunsets, the majestic Phoenix valley skyline, and breathtaking mountain views that will undoubtedly captivate you. Enter through your private courtyard, seamlessly extending the outdoor living space and welcoming you into a world of serenity and luxury. Step inside this single-level Golden Heritage Great Room floor plan and be embraced by an inviting atmosphere adorned with Viga ceiling beams, effortlessly marrying comfort with sophistication. The spacious kitchen, a haven for culinary enthusiasts, boasts new Wolf Gas Cooktop and Double Jenn-Air Wall Ovens, providing ample space for culinary exploration, while a cozy Kiva fireplace sets the tone for intimate gatherings in the family room. Indulge in the opulence of the expansive primary suite, featuring a private exit to the rear yard where the beauty of the landscape awaits you each morning. Outside, a resort-style backyard beckons, showcasing a sparkling Pebble Tec pool and spa, embraced by lush landscaping and accent lighting, crafting an oasis of tranquility and relaxation, complete with a fire pit to enjoy during the evenings. A true gem, this home boasts a newly replaced roof and all-new pool equipment managed wirelessly, ensuring a move-in ready experience and promising a lifestyle of comfort and luxury. Experience the epitome of Scottsdale living with easy access to amenities such as the Mayo Clinic, Basis School, golf courses, biking trails, and hiking adventures. Whether you seek tranquility or outdoor exploration, this residence offers the perfect balance of opulence and lifestyle.

7563 W Electra Lane Peoria, AZ 85383

$1,339,000
4 Beds
3 Baths
3,080 SqFt
Status Active
MLS # 6647195
Property Type Single Family Residence
Price Type --
Welcome Home to this BREATHTAKING PROPERTY situated in a quiet Cul-De Sac lot in a prestigious GATED Community!! This HOME is sure to AMAZE You! Immediately upon entering this Well-Designed SPACIOUS Home, you will FALL IN LOVE with the Open Concept Living Space, Boasting ELEGANCE and STYLE throughout. Highlighting a GORGEOUS Kitchen, Well-Equipped with Tons of BEAUTIFUL Cabinets, AWE-STRIKING Granite Countertops, Massive ISLAND, Double Ovens, Stainless Steel Appliances, Built-In Wine Fridge, Eat-In Kitchen and Breakfast Bar with Beautiful Pendant Lighting. The Kitchen Opens to the LIGHT & BRIGHT Great Room where you will Find the Formal Dining Area HIGHLIGHTING a Modern Lighting Fixture, Beautiful Flooring and soaring ceilings. Continue to be IMPRESSED as you enter the Exquisite Owner's Suite. This Spacious bedroom offers a LAVISH En-Suite with Spa Inspired Bath, Beautifully Tiled STEP-IN Shower, STUNNING Staggered Dual Vanities and the Well-Appointed Walk-In Closet. This Home is Perfect for Entertaining or Relaxing Outside. Invite your guests outdoors to Indulge in Relaxation Under the Covered, SUNKEN RAMADA with Built-In BBQ and Fireplace while you Adore the Beautiful low-maintenance Landscaping and Sparkling Pool. Enjoy tons of Garage Space with Additional RV Parking. Close to Shopping, Dining, Freeways, and So Much More!! Hurry to see this one, you are sure to be IMPRESSED!!!

5830 E Sierra Sunset Trail Cave Creek, AZ 85331

$1,335,000
4 Beds
3 Baths
3,036 SqFt
Status Active
MLS # 6712582
Property Type Single Family Residence
Price Type --
Stunning Torrey Pines model in beautiful Lone Mountain is nicely upgraded throughout with custom finishes. Designed for views & privacy, the backyard opens to a lush wash & Black Mtn views featuring a spacious travertine paver patio, sparkling pool w/water falls, built in BBQ, and artificial turf. The interior features tile plank floors & timeless neutral tile in the main living areas, new carpet in the bedrooms, shutters throughout, & custom cabinets in the family room. The open kitchen features GE Monogram stainless appliances, including a 48'' gas range w/griddle, granite countertops, beverage fridge at the large island & dining nook. The formal dining & living room offer ample entertaining space that flows to the large shaded patio. The master is split from the 3 BR/2 BA guest wing.

7466 E Thorntree Drive Scottsdale, AZ 85266

$1,335,000 - 3Br/3Ba -  for Sale in The Boulders, Scottsdale
Open House
$1,335,000
3 Beds
3 Baths
2,787 SqFt
Status Active
MLS # 6738319
Property Type Single Family Residence
Price Type --
Soft contemporary desert home located on a serene cul-de-sac in The Boulders, featuring sweeping views of Black Mountain. Highly sought after floorplan with several entertaining options, soaring ceilings, zero interior steps throughout. Living spaces are open, bright and spacious featuring hardwood & flagstone flooring. Kitchen with Sub Zero refrigerator flows beautifully into family room with gas fireplace. Primary suite is oversized, offering multiple closets and generous bath. 2 additional guest rooms, one currently being used as an office, round out to property to a full three bedroom, three bath. Lot feels oversized and is adjacent to open space, desert vistas abound as well as patio space for dining al fresco. Sophisticated, imbibed with natural light, this home is a distinct find.

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