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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218 W Ridgecrest Road Phoenix, AZ 85086

$1,177,000
4 Beds
3 Baths
2,861 SqFt
Status Active
MLS # 6758144
Property Type Single Family Residence
Price Type --
STUNNING VIEW! & Room for Toys! Private Custom 4 Bedrm 2.5 Bath Home, on 1.62 Ares 2.5 Car Garage and (2) RVs Carport w/ electric hook-up PLUS Additional Separate DETACHED Metal Building-Work-Shop/ Garage) w/HVAC- 30X50 (1500 sq ft) has 220 circuit & (2)50 HP 3 Phase generator. Gorgeous Custom Home w/ 14ft ceilings, scraped wood flooring thru-out! Exposed Vega Beams in Great Room & Open Kitchen w/ floor to ceiling gas fireplace! Kitchen has hightop bar/island granite counters, Custom Knotty Alder Cabinets w/ high-end appliances! Subzero Refrige/freezer, GE Induction cooktop, GE Double Ovens, Bosh Dishwasher, Wall of Windows for PHENOMENAL VIEWS to backyard & beyond=Mountain Range! Split Floor-plan/ 2 Landry areas! HUGE Master Suite =cozy gas fireplace & Those Unbelievable views w/ French private walk-out to spacious patio and backyard!! Newly remodeled Ensuite featuring vessel tub & separate tiled shower, double vanities, large walk-in closet w/ access to Master Laundry Room. Powder Room custom herringbone tile floors & rustic vessel sink! 2nd Bedroom has Custom Murphy Bed! Double Door entry to Office/4th Bedroom off Great Room w/ views of the backyard & Mountains- Closet has pulldown stairwell for storage in attic. Large Pebble tec pool w/ gorgeous rock waterfall & gas fire-pit! Newly built 20 X18 Beautiful Ramada w/ Edison lighting. This home has so much to offer!! MUST SEE!! Custom Built 2002 By Sunlore Homes - Original Owner! 1.62 Acres with Mature Trees and AMAZING VIEWS!! 8ft Doors, 14 ft Ceiling! Custom Knotty Alder WOOD Doors and Cabinets! & Vega Beams 2.5 Car Garage with 220 Volt Circuit Large Covered Attached RV Parking with electric hookup 30 X 50 (1500 sq ft ) Separate Metal Building Shop/ Garage with 220 circuit (and 50 HP 3 Phase generator available that will not convey unless requested). 20 X 18 Oversized New Ramada in the Backyard with Edison lighting. 3 NEWER HVAC 2020 90 Gallon Propane Tank for Fireplaces and Fire-pit Roof Recoated 2023 Oversized Septic Great Water Pressure from Private Well !! Wired for surround sound and security Custom Murphy bed in 2nd Bedroom Horse Property Chicken Coop Block Fenced Backyard and separate fenced side yard. Wash on Property

17962 W Montecito Avenue Goodyear, AZ 85395

$1,176,000
6 Beds
5 Baths
4,800 SqFt
Status Active
MLS # 6726126
Property Type Single Family Residence
Price Type --
STUNNING ENTERTAINERS DREAM HOME W/ In-law Suite. STEP THROUGH THE FRONT IRON DOOR AND DOWN THE HALLWAY TO A TRUE GOURMET KITCHEN! 60'' DOUBLE GAS OVEN/ 8 BURNERS 60'' DOUBLE FRIDGE & FREEZER. 24''DISHWASHER & 18'' DISHWASHER. TWICE IS ALWAYS NICE! 1 LAUNDRY DOWNSTAIRS, & 1 UPSTAIRS. ATTACHED IN-LAW SUITE ON 1ST FLOOR HOSTS SEPERATE SIDE PATIO & ENTRANCE, KITCHEN & LIVING!!! THIS IS TRULY A UNIQUE HOME. 1BD EN-SUITE, 2 BD, 1 BA, W/ TEEN ROOM, PLUS MASTER/ EN-SUITE ON SECOND LEVEL & AN OPEN LOFT UPSTAIRS. GUEST BD ACROSS FROM FULL GUEST BATH DOWNSTAIRS. WALK THROUGH THE 12' & 8' BI-FOLD DOORS TO A BACKYARD THAT BOASTS A BUILT IN BBQ, 2 MINI FRIDGES, ICE MAKER, BAR SEATING. IN-GROUND TRAMPOLINE, HOT TUB & SPARKLING POOL w/ GROTTO. EVEN THE POOL HAS JETS! A/C FULLY REPLACED IN 2022, 2x6 construction, 400amp panel, Spray Foam throughout, all irrigation replaced with PVC, extended paver driveway and RV gate

32875 N 73rd Way Scottsdale, AZ 85266

$1,175,000
3 Beds
3 Baths
2,109 SqFt
Status Active
MLS # 6757401
Property Type Single Family Residence
Price Type --
Your chance to own a gem with views of Boulder Mntn is finally here! Over 300k in upgrades to this 3 bedroom 3 bath split plan. Soaring 12' ceilings, Custom kitchen w/ Thermador refrigerator/ Freezer columns, built in Thermador coffee maker, Double oven, 220 Conv/Micro oven, Dual dishwashers, 15' waterfall island with added storage, custom upper lighted display cabinets, beautiful upgraded lighting, linear F/P. Laundry with additional cabinets, Expansive patio slider wall to take in the gorgeous mountain view! Custom closets throughout, designer paint, built in Vacuum, custom made draperies w/ shades, all grout color sealed, R/O system, spectacular epoxied garage floor. Close to all amenities yet quiet and private. Next to Summit at Scottsdale Shopping Center & walking trail

905 N Sinagua Heights Drive Flagstaff, AZ 86004

$1,175,000
6 Beds
4 Baths
4,253 SqFt
Status Active
MLS # 6747569
Property Type Single Family Residence
Price Type --

14103 S 44th Avenue Laveen, AZ 85339

$1,175,000
3 Beds
3 Baths
2,975 SqFt
Status Active
MLS # 6710653
Property Type Single Family Residence
Price Type --
This is desert living with amazing mountain views, privacy, seclusion, peace and quiet! This includes additional 1+ acre lot south (APN: 300-04-036) and north (APN: 300-04-034) of the house. Basement home with guest house/shop offers flexibility for various living/working arrangements! Perfect for horses, hobby enthusiast, multi gen living, basement offers a separate living level along with the detached building for extended family or vacation rental. Ideal for small business 1200sf unit located across wash with bridge, keeps home private and work separate! Think of the savings not having to pay for an additional work space or more than one home! NO HOA and centrally located close to freeway and access to the entire valley! Set at the base of the mountain/preserve, perfect quiet, peaceful setting to enjoy sunsets and natural desert life! This multifunctional property is for those nature lovers and those not wanting cookie cutter living. Chef Kitchen. Modernized interior. Located in the county with lower property taxes.

18120 W Solano Court Litchfield Park, AZ 85340

$1,175,000
4 Beds
3.5 Baths
4,241 SqFt
Status Active
MLS # 6741801
Property Type Single Family Residence
Price Type --
WELCOME HOME to this breathtaking, 4241 sq ft, custom-built Hacienda style home, in the exclusive gated community of Russell Ranch. Enter the through a rustic arched gateway and take in the private courtyard that features lovely landscaping and a beautiful water feature. The split, open concept floor plan includes high ceilings, exposed wood beams, built-ins. . The kitchen has chiseled granite counters, an island, a large buffet, a gas range, and a spacious pantry. The Primary Bedroom is a cozy retreat that includes a stone fireplace, beautiful built-ins, walk in closet and a stunning tiled bathroom. Bedrooms 2 & 3 each have en suites and walk-in closets. Bedroom 4 would make an ideal craft or exercise room. The den/office is spacious and perfectly situated at the front of the house. The backyard oasis was made for entertaining with a charming Palapa, a built in outdoor kitchen and fire pit. Take a dip into the Pebble Tec pool and spa with three cascading waterfalls and a Baja step. Keep cool on those hot summer days with a pro-grade misting system. The extended 3rd car garage can accommodate a boat and includes dual access doors for easy yard equipment and tool storage. This meticulously maintained home sits on nearly half an acre and is a MUST SEE!

4345 Copperhead Drive Wickenburg, AZ 85390

$1,175,000
3 Beds
2.5 Baths
2,366 SqFt
Status Active
MLS # 6760452
Property Type Single Family Residence
Price Type --
Welcome to this highly upgraded 3-bedroom, 2.5-bathroom home with a den/office, perfectly positioned on an oversized, premium lot in the sought-after Wickenburg Ranch community. With no homes behind, this property offers stunning, uninterrupted views, creating a private and serene atmosphere. Inside, you'll find a carefully curated interior that showcases designer finishes and thoughtful touches throughout. The open-concept layout is perfect for modern living, with a gourmet kitchen featuring high-end appliances including a gas cooktop, beautiful quartz countertops, and custom cabinetry. The spacious great room with tasteful beams is ideal for relaxing or entertaining, featuring large windows to bring in natural light while framing those beautiful views. The primary suite is a true... retreat, complete with a luxurious en suite bathroom and ample closet space. Two additional bedrooms and a versatile den provide plenty of room for family, guests, or a home office. Upgraded solid core doors throughout the home. With the coveted 4' extended garage, there's plenty of space for vehicles, storage, or even a workshop. Outside, the oversized lot is simply priceless, whether you want to relax in your dream backyard or simply enjoy the tranquility of the surrounding landscape. This home combines premium upgrades, incredible views, and unmatched privacy, all in the exclusive Wickenburg Ranch.

3031 E Wildhorse Drive Gilbert, AZ 85297

$1,175,000
4 Beds
3.5 Baths
3,771 SqFt
Status Active
MLS # 6757390
Property Type Single Family Residence
Price Type --
Welcome to your dream home*Immaculate 4 bedroom, den, plus a playroom/extra living area*Recently remodeled kitchen boasts a large center island with Viatera Etude Quartz countertops and 42'' white shaker cabinets w/ crown molding*New appliances including Bosch oven and speed oven/microwave and induction cooktop*Large walk-in pantry*Almost 1/2 an acre with mature trees, patio, Gazebo, turf and paths that leads to private areas and garden beds. Other amenities include: large walk-in closets in all bedrooms, 4 linen closets t/o*Newly painted inside and exterior*Remodeled master bathroom with w/ beautiful tile floor*New sinks, faucets countertops & new separate tub & shower *Exceptional finishes & light fixtures t/o*Engineered hardwood floors t/o*Shutters t/o*Newer Upgraded American

9378 W Via Montoya Drive Peoria, AZ 85383

$1,175,000
4 Beds
3.5 Baths
3,729 SqFt
Status Active
MLS # 6757502
Property Type Single Family Residence
Price Type --
INCREDIBLE floorplan in The Meadows - 3 separate bedroom wings w/bathrooms. Two living areas, 2 flex spaces - dens, offices, workout/game rooms? Resort-style backyard with travertine hardscape surrounding a bridged pool to gazebo-encircled hot tub. Freshly painted inside and out. New carpet throughout. Gourmet kitchen with massive island and SS appliances. Soft water system, owned solar system, 3-car garage, RV gate. There's MORE! Come take a look!

20132 W Medlock Drive Litchfield Park, AZ 85340

$1,175,000
5 Beds
3 Baths
2,560 SqFt
Status Active
MLS # 6742933
Property Type Single Family Residence
Price Type --
Discover beauty and comfort in this stunning equine estate, perfectly situated on 2.5 serene acres in the heart of Beautiful AZ Estates. This amazing residence boasts 5 spacious bedrooms and 3 well-appointed bathrooms, designed for both relaxation and functionality. Step into an expansive open floor plan where the large living spaces are highlighted by vaulted ceilings and beautiful tile floors. The oversized kitchen features gorgeous granite countertops, a walk-in pantry, and seamlessly flows into the family room, ideal for entertaining and family gatherings. The master suite offers a private seating area and an impressive walk-in closet, while each additional bedroom ensures ample space and comfort. The oversized laundry room, cleverly designed to double as a bathroom, adds to the home's versatility and convenience. Enjoy breathtaking mountain views and sunsets from virtually every room, with large windows that frame the picturesque landscape. Outside, the property is a true retreat. The well landscaped grounds showcase a sparkling swimming pool, patios, lawn and relaxing spa, creating the perfect backdrop for outdoor enjoyment. For equine enthusiasts, the horse facility is a standout feature, complete with, covered corrals, a turnout area, and a round pen. A 4-car garage provides abundant storage and space, rounding out this exceptional home. Whether you're relaxing by the fireplace, soaking in the views, or enjoying the numerous outdoor amenities, this estate offers an unparalleled living experience.

1061 N Omaha Circle Mesa, AZ 85205

$1,175,000
5 Beds
4.5 Baths
4,376 SqFt
Status Active Under Contract
MLS # 6735844
Property Type Single Family Residence
Price Type --
PLENTY OF SPACE. A PLACE TO COOL OFF. THIS IS THE HOME FOR YOU! From the moment you enter this gated community and pull up to see its stunning curb appeal, you'll know this is the one. Perfect for hosting friends and family, this home offers ample space to create lasting memories. Picture yourself unwinding after work by taking a dip in your private pool (heated in winter), drink in hand, then shooting some hoops or practicing your short game. Want to escape into a great movie? The loft features a movie screen and projector, perfect for cozy nights with a classic film or discovering a new favorite. The heart of the home, the gorgeous kitchen, is where culinary magic and cherished moments happen. Gather around to whip up your favorite meals and make memories that will last a lifetime!

5527 S 225th Avenue Buckeye, AZ 85326

$1,175,000
4 Beds
2.5 Baths
2,566 SqFt
Status Active Under Contract
MLS # 6752845
Property Type Single Family Residence
Price Type --
OWNER AGENT. This property sale includes 2 parcels of irrigated acreage (3.324). Custom Modern Farmhouse built in 2020 with 4 bedrooms and 2 baths, open floor plan that showcases the open kitchen and great room as the heart of the home. From the great room enjoy stunning sunrises, sunsets, a glowing fire in electric fireplace, or enjoy the view of the lush green yard, sparkling fenced pool, and surrounding views to outdoors. Exceptional kitchen for gatherings with enormous island, stainless steel professional appliances include wall oven and built-in microwave, electric range, built in refrigerator and freezer, Bosch dishwasher. Large Private Main Suite boasts curbless walk-in tiled shower, his and hers extended vanities, and 2 custom designed walk-in closets with access to laundry room. Cooled Pool/Play house (approx 180 sq ft) has half bath and outdoor shower, and room to lounge. Attached air conditioned 807 Sq Ft (34X24) workshop with garage door or double door built in option with 2-car slab carport for additional workspace. Additionally, a large WeatherKing lofted barn with single garage door near shop carport. Oversized 24 x 26 garage with additional 2-car slab carport. Front porch has extended rock front courtyard and pavers. Back porch extended with pavers and turf with additional paver patio. Misting System at back patio and poolside. Concrete Court with basketball hoop. The property is cross fenced and perimeter fenced and gated with no-climb metal fencing and some cedar stays for privacy. THIS OFFERING IS PARCEL 504-43-029 AND 504-43-002Z.

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