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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155 N Brookside Street Chandler, AZ 85225

$1,150,000
5 Beds
3.5 Baths
3,332 SqFt
Status Active
MLS # 6734166
Property Type Single Family Residence
Price Type --
This home is GORGEOUS! Custom built in a great area. You will enter through Extra Wide Custom solid wood door imported from Guadalajara Mexico. The entire home is well built with 2x6 construction. blown foam insulation throughout and Dual Pane windows - keeps utilities low. Oversized windows let in a lot of natural light. Floors are Imported porcelain Italian Tile and carpet in the bedrooms. Kitchen and bathrooms have Solid wood cabinets. This home has a backyard Oasis with a tranquil waterfall. Front yard was recently all redone with all new watering system and low maintenance artificial grass. 3 car garage has large solid wood built-in cabinets. Additionally, there is a mother-in-law suite attached with it's own direct access from inside the garage.Can also be excellent AirBNB

8246 E Kael Street Mesa, AZ 85207

$1,150,000
4 Beds
3.5 Baths
3,297 SqFt
Status Active
MLS # 6731205
Property Type Single Family Residence
Price Type --
BRING ALL OFFERS! Exquisite move-in-ready CUSTOM home nestled in the upscale Gated Community of Savona. Plenty of room for all your toys with the oversized 3-car garage, RV gate with space to build an RV garage or casita, and an extended paved driveway for ample parking. Great curb appeal and a beautiful 10ft tall custom iron entry door sets the stage for the grand entry. Soaring 12ft ceilings with coffered designs in the office and bonus room, 8ft solid wood doors, and beautiful Versailles patterned travertine throughout with architectural delights await. Gourmet Kitchen with Double Ovens, Stainless Steel Appliances, Gas Cooktop, Kitchen Island, and opens to the dining area and great room with fireplace. Bonus Room perfect for a game/TV room connects to the Guest/Mother-in-law suite with en-suite private entrance and its own private patio. Large primary suite and primary bath offers jetted soaking tub, snail shower and walk-in-closet. A separate wing offers two additional spacious bedrooms with individual sinks and an adjoined bathroom. Large laundry room with lots of cabinets for added storage and a laundry sink. Enjoy the privacy and desert landscape in your backyard with a sparkling saltwater pool, extended covered patio, and breathtaking sunsets. Plenty of room to build an RV garage or casita, a ramada or outdoor kitchen. The possibilities are endless, just waiting for your design. Upgrades include: New AC Units in 2019, 2 new Water Heaters in 2021, Water Softener in 2023, Exterior and Interior Painted in 2023, and Roof Inspected in 2024. Enjoy Pickleball, Basketball and Children's Playground. Great location just minutes to the 202 Freeway, Shopping and Restaurants, Hiking and Biking Trails, 20 minutes to Scottsdale Sky Harbor Airport, and 15 minutes to Lake Saguaro. Schedule your private showing today.

11529 E Minton Street Mesa, AZ 85207

$1,150,000
3 Beds
2.5 Baths
3,219 SqFt
Status Active
MLS # 6644905
Property Type Single Family Residence
Price Type --
Situated on a secluded cul-de-sac in the privately gated Tonto Forest Estates, this desert jewel sits on just over an acre at the base of the Tonto National Forest. Offering convenient access to numerous parks, hiking and biking trails, recreational sites, Loop 202, and all-encompassing views of the Superstitions, Usery, and Goldfield Mountains, this home is the ultimate urban retreat. Enter through the elegant paver-lined courtyard to find a tranquil water fountain, custom front security door, and an open, light-filled floor plan with views of the Tonto Forest from nearly every window. Interior elements include oversized windows, granite countertops, fresh interior paint, neutral tile, wood and plush carpeting. Custom wood and built-in storage adorn the great room, primary suite, and -- private den. Step through elegant french doors to your expansive covered patio, where a private pool, built-in BBQ, and ambient outdoor fireplace await your enjoyment. Enjoy an extended driveway, with paver walkways, custom wrought iron gates, and an epoxy garage with floor-to-ceiling cabinets. Elevate your lifestyle, and embrace the tranquility of nature in this exceptional desert retreat!

17316 W Wildwood Street Surprise, AZ 85388

$1,150,000
3 Beds
3.5 Baths
2,489 SqFt
Status Active
MLS # 6679522
Property Type Single Family Residence
Price Type --
GORGEOUS HOME WITH AMAZING VIEWS OF THE STERLING GROVE GOLF COURSE 10TH GREENS AND BREATHTAKING SUNSET VIEWS OF THE WHITE TANK MOUNTAINS! THIS MATTHEWS CRAFTSMAN HOME HAS A PLETHORA OF STUNNING UPGRADES INSIDE AND OUT! GREAT ROOM OPEN FLOOR PLAN WITH 10' FOOT CEILINGS, CUSTOM BUILT ENTERTAINMENT CENTER WITH A VAPOR FIREPLACE, STACKABLE SLIDING GLASS DOORS, BEAUTIFUL CHEF'S KITCHEN WITH AN EXPANSIVE WATERFALL EDGE KITCHEN ISLAND, QUARTZ AND GRANITE COUNTERTOPS, TILED BACKSPLASH, TWO TONED SOFT CLOSE CABINETS, UNDERMOUNT LIGHTING, GAS COOKTOP, A BUILT-IN WALL OVEN, MICROWAVE AND REFRIGERATOR. THE MASTER BEDROOM IS SPACIOUS AND HAS A BUILT-IN CUSTOM CLOSET, SPA LIKE MASTER BATHROOM WITH HIS AND HER SINKS AND A TILED WALK-IN SHOWER! THIS MATTHEWS HOME IS 2,489 SQUARE FEET WITH AN OFFICE/STUDY ROOM, 3 BEDROOMS (ALL ENSUITES), POWDER ROOM HALF BATHROOM WITH A 3 CAR GARAGE (EPOXY FLOOR). FUN OUTDOOR LIVING IN YOUR VERY OWN BACKYARD OASIS! DESIGNED AND INSTALLED BY CREATIVE ENVIRONMENTS. BUILT-IN BAR AND GRILL FOR DINING OUTBACK! RELAX AND ENJOY IN YOUR REFRESHING POOL! ON A COOLER NIGHT, LIGHT UP THE FIREPIT AND ENJOY THESE GORGEOUS ARIZONA SUNSETS! THIS HOME HAS IT ALL, COME SEE FOR YOURSELF! Sterling Grove Golf & Country Club is a Gated Community w/24 Hour Guard Post. Great Opportunity to Enjoy on a daily basis so many Wonderful Amenities and Beautiful Views of the White Tank Mountains, Lakes, Ponds and Gorgeous Greens on your Walks, Jogs, Bike Rides! Amenities: TROON Managed Jack Nicklaus Design 18 Hole Golf Course, Tennis Courts, Pickleball Courts, Country Club, Resort Style Pools, Fitness Center, Spa, Restaurants, and Much More!

11722 S 38th Avenue Laveen, AZ 85339

$1,150,000
4 Beds
4.5 Baths
3,408 SqFt
Status Active
MLS # 6721960
Property Type Single Family Residence
Price Type --
This exquisite mountain estate is a home unlike any other in the area. Situated in one of the city's highest points, in an exclusive community on 1 ACRE of land. The interior has porcelain tile flooring throughout, soaring vaulted ceilings in the great room, and 10-foot ceilings elsewhere. Each of the 4 generous bedrooms features its own private ensuite bathroom and walk-in closets. Two large covered patios equipped with surround sound and misting systems. The large backyard provides the perfect canvas for a pool, a casita or other improvements. Additional features include an oversized 3-car garage, RV gate and a small open workshop.

716 Country Club Drive Prescott, AZ 86303

$1,150,000
3 Beds
2 Baths
2,100 SqFt
Status Active
MLS # 6752466
Property Type Single Family Residence
Price Type --
Step back in time and enjoy the modern comforts in this enchanting 1926 Sears and Roebuck Bungalow, in the heart of Prescott's historic district. This 2,184 sqft, 3-bedroom, 2-bathroom home boasts a coveted Crescent floor plan and features original wood floors --warmth and timeless elegance. Tastefully remodeled kitchen and bathrooms offer perfect balance of historic charm and contemporary convenience. The big private backyard is a tranquil oasis, complete with a charming guest house—ideal for guests or potential rental income. Located within walking distance to Prescott's special events and downtown attractions, this rare gem offers a unique blend of history, community, and convenience. Whether you're looking for a full-time home or a lucrative vacation rental, this home is a must see.

1501 N 67th Street Mesa, AZ 85205

$1,150,000
6 Beds
3 Baths
4,043 SqFt
Status Active
MLS # 6721410
Property Type Single Family Residence
Price Type --
Discover the perfect blend of luxury and convenience in this exceptional property! Nestled on just under an acre with no HOA, this expansive 6-bedroom, 3-bathroom home offers everything you could ever want. The layout includes additional great rooms that provide versatile living spaces. Step outside to find a stunning diving pool complete with a slide, a charming gazebo, and a dedicated grilling area—perfect for outdoor entertaining. Car enthusiasts and adventurers will love the incredible RV and 4-car detached garage, featuring high ceilings and air conditioning for comfort. The property has RV gate, an in-ground trampoline, and lush citrus trees. With all these amazing features, this home won't be on the market for long. Don't miss your chance to own this extraordinary property!

1045 E Cloud Road Phoenix, AZ 85086

$1,150,000
4 Beds
2 Baths
2,874 SqFt
Status Active
MLS # 6720123
Property Type Single Family Residence
Price Type --
Nestled within an expansive acre lot, this picturesque estate boasts a charming 2800 sq ft main house alongside a spacious 1300 sq ft guest house and a versatile 1800 sq ft workshop, creating an idyllic retreat for both living and creative endeavors. This semi-custom home exudes warmth and elegance and welcomes you with its timeless architecture, featuring a blend of wood and stone accents and rustic timber framing. Vaulted ceilings paired with mountain views create a breathtaking living space. This home features large, spacious bedrooms complete with walk-in closets. The backyard is an oasis where a sparkling pool takes center stage amidst a beautifully landscaped yard, creating a haven of relaxation and recreation. Solar panels keep the APS bill under $100/month for the entire property! Imagine stepping into a spacious and inviting living room that seamlessly blends the beauty of open floor plan design with the grandeur of vaulted ceilings and breathtaking mountain views. As you enter, you're greeted by a sense of airiness and light, accentuated by expansive windows that surround the home, framing panoramic vistas of majestic mountains in the distance. The 2 bedroom, 2 bathroom guest house mirrors the main home's architectural style, providing a private retreat for visitors, or longterm guests. Inside, a cozy living area greets guests with soft lighting and a full kitchen. Adjacent to the guest house stands the workshop, a haven for creativity and craftsmanship. The workshop also features a full bath. This property is not to be missed!

11626 S Appaloosa Drive Phoenix, AZ 85044

$1,150,000
5 Beds
3 Baths
3,649 SqFt
Status Active
MLS # 6669571
Property Type Single Family Residence
Price Type --
Located in the Equestrian Estates Custom home neighborhood. Original Owner, the home has been meticulously maintained and updated, Great mountain views from both levels. Footsteps away from hiking and biking in the desert preserve. Large backyard for entertainment and family activities. Mature citrus trees. Recently remodeled pool and deck. Newer roof, well insulated home for energy savings. newer Trane variable speed hvacs. Custom knotty alder cabinets and doors, new floors, kitchen and master bedroom/bath remodel, ionization water system, new paint, bar in family room, propane fireplaces in family room and master suite. ceiling fans throughout, Open floor plan, great neighborhood. Location, location, location!

14670 E Desert Trail Scottsdale, AZ 85259

$1,150,000
3 Beds
3 Baths
2,870 SqFt
Status Active
MLS # 6727978
Property Type Single Family Residence
Price Type --
Welcome home! Nestled between Scottsdale Mountain and Adero Canyon, this gem offers ample space for entertaining family or friends, breathtaking views of the famous Arizona sunsets, and thoughtfully designed spaces both inside and out. Escape to the tranquil beauty of Hidden Hills and discover your dream home within this sought-after gated community. This exceptional residence boasts stunning sunsets, and breathtaking mountain views that will captivate you. Enter through your private courtyard, which seamlessly extends the outdoor living space and welcomes you into a world of serenity and luxury. Step inside this single-level Golden Heritage Great Room floor plan, where you'll be embraced by an inviting atmosphere that effortlessly marries comfort with sophistication. The spacious kitchen, a haven for culinary enthusiasts, includes a gas cooktop and double wall ovens, providing ample space for culinary exploration, while a cozy 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 with a sparkling Pebble Tec pool, lush landscaping, and accent lighting, creating an oasis of tranquility and relaxation during the evenings.

205 W Quartz Rock Road Phoenix, AZ 85085

$1,150,000
4 Beds
3.5 Baths
3,529 SqFt
Status Active
MLS # 6665297
Property Type Single Family Residence
Price Type --
Seller is offering 2-1 Buydown to lower your interest rate to 5.125% for the 1st year! Private oasis with detached guest home located on over an acre of with city lights and mountain views. Only 2 blocks from the Preserve's 38-miles of hiking and horseback trails. The 2506sf open floorplan, wood beamed ceilings, and Arcadia doors create a bright, inviting space. A spacious kitchen offers granite counters and plenty of storage. Primary suite has 2 walk-in closets, jetted tub and walk-in shower. Outside, relax on the covered patio or by the pebbletec pool. New exterior paint, new carpet in bedrooms and 2 new AC units. The detached building includes over 1,000sf of livable space with a kitchenette and full bathroom, plus a 1-car garage & workshop. County island with no HOA

5366 E Juniper Avenue Scottsdale, AZ 85254

$1,150,000
4 Beds
3.5 Baths
2,781 SqFt
Status Active
MLS # 6650821
Property Type Single Family Residence
Price Type --
: EXQUISITE! Stunning North/South home in sought after location. Four bedrooms and three and a half bath, two level home. This home has been completely remolded and redesigned. Fabulous kitchen with new cabinetry and quartz counters. and newer stainless appliances. All new windows throughout the home. Formal dining room, living room and family room, with high soaring ceilings. Downstairs suite with own bath. Three large bedrooms and two full baths upstairs. Half bath off living. Separate laundry and 3 car garage. Master bedroom has walk-in closet and its view balcony. Beautifully redesigned master bath with soaking tub and large open shower. Landscaping is beautiful with care free artificial grass, sparkling pebble-tech pool, fruit trees galore, two covered patios and a louvered extension

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