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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11954 N Hazeldine Road Casa Grande, AZ 85194

$1,100,000
4 Beds
2.5 Baths
2,783 SqFt
Status Active
MLS # 6711969
Property Type Single Family Residence
Price Type --
Stunning Western Paradise on 8.5 acres, surrounded by beautiful mountains and city views. Includes corral for horses with water and electric. House features a wrap around covered patio for endless entertainment. Jump into a pebble tec pool with custom pergola. One of a kind spectacular 4bdrm/ 2.5bth tiled, carpeted bdrms. Beautiful Travertine and Mosaic tiled kitchen counter. Private chapel located on property. Property backs up to North Mtn. Park with a private entrance. Stunning views of the valley, amazing city views at night. Flagstone patio and firepit. Custom chicken condo. Plenty of room for RV & toys. Facts and measurements to be verified by buyer. Don't miss out on this Amazing Property!

8956 E Venus Drive Carefree, AZ 85377

$1,100,000
4 Beds
2 Baths
2,814 SqFt
Status Active Under Contract
MLS # 6719210
Property Type Single Family Residence
Price Type --
Come fall in love with this custom architectural & newly remodeled home on acreage with million dollar mountain views that has just graced the market!!! The exquisite finishes selected on this Sonoran style home include bleached oak flooring through-out, soaring vaulted ceilings, wood casings windows, 2 fireplaces, a brand new kitchen, remodeled baths, 3 car garage, remodeled pool & new front & back landscaping all set below Desert Mountain's stunning views! As you walk down the brick entry through your new front doors that open into soaring 20 foot ceilings with skylights, you can immediately envision you life unfolding here! The newly remodeled kitchen walls have been opened opened up, white quartz waterfall counters w/ veining, custom 2-tone cabinets w/ rose gold hardware, white Cafe line appliances & fridge, under-mount sink w/ rose gold goose-neck faucet w/ stunning views overlooking the backyard, peninsula seating for many, dramatic quartz backsplash all the way up the wall, stainless hood & its' own sky light too! The separate oversize dining room is surrounded by windows is adorned by an elegant chandelier for entertaining. The primary bedroom is just lovely with its' own wood burning fireplace, plantation shutters, walk-in closet & exterior exit. A custom barn door takes you into the primary bath which has just been remodeled too w/ marble floors, shaker cabinets, vessel sinks, new mirrors & light fixtures, custom-tiled shower & soaking tub under an adorable window that just completes the setting! The guest bath is next to the other 3 bedrooms for convenience & has been remodeled too with the same beautiful quartz counters, marble flooring, subway tile backsplash, round black mirrors, custom tiled shower w/ glass doors & a seat too! Other interior finishes not to be missed: all new Alabaster paint, new floorboards, real wood doors, wood burning brick adorned fireplaces in family & master, new fans, new toilets, 2 closets in 2 of the bedrooms & new front & patio doors too! The front yard is a desert paradise and the long driveway takes you to your newly epoxied extended length 3 car garage! The best selling feature of this home is the backyard views from the wrap-around brick patio w/ built in BBQ over looking your newly refinished sparkling pool! Enjoy Arizona's sunsets here amongst your newly landscaped yard including new astro turf & multiple palm trees. The views of the mountains are just majestic w/ no homes behind. This estate is truly one of a kind w/ an open-floor-plan concept, no interior steps, windows & skylights galore, low maintenance landscaping, North & South exposure all nestled on a quiet street in the highly prestigious custom home neighborhood of Velvet Shadows. So close to all the amenities, events, and attractions in Carefree and Cave Creek adds to the convenience and desirability of this home. Come witness for yourself the beauty of this serene retreat set amongst AZ's most tranquil desert landscape!

9806 W Rock Springs Drive Peoria, AZ 85383

$1,100,000
5 Beds
3.5 Baths
4,623 SqFt
Status Active Under Contract
MLS # 6728111
Property Type Single Family Residence
Price Type --
Welcome to Paradise in Peoria! Over $200k invested into the backyard alone! See features list for full breakdown. This 5bed+Den/3.5bath/4,623sqft home is the epitome of luxury living & is designed for those who love to entertain. The backyard oasis is a dream, featuring a custom heated AND cooled pool w/ fountains, deck jets, baja step & copper fire pits to set the scene. Turkish marble decking throughout w/ built in gas & charcoal grills in the bar. Step inside to discover beautiful modern finishes, a gourmet chef's kitchen w/ induction stove & double ovens. Custom built primary closet has shoe wall that holds 150 pair! Gated community allows RV parking. 50 amp RV hookup w/ widened gate. 3yr old HVAC units & solar panels create modern efficiency. This property is ready to be called HOME!

1975 Flicker Drive Forest Lakes, AZ 85931

$1,100,000 - 3Br/3Ba -  for Sale in Forest Lakes Estates, Forest Lakes
Open House
$1,100,000
3 Beds
2.5 Baths
2,441 SqFt
Status Active
MLS # 6751125
Property Type Single Family Residence
Price Type --
Coming Soon! Discover a rare gem in Forest Lakes Estates with this newly listed single-level custom cabin at 1975 Flicker Drive. This 3-bedroom, 2.5-bathroom home offers 2,441 square feet of thoughtfully designed living space, combining comfort, style and functionality. The property's striking curb appeal is enhanced by a grassy front yard leading to a deck with metal railing, perfect for pet owners. Inside, the great room showcases vaulted tongue and groove ceilings, a stately stone fireplace, built-in bookshelves, and an inviting wet bar. The kitchen is a chef's delight, featuring knotty hickory cabinets, chiseled edge granite countertops, and black stainless steel appliances. Multiple seating options, including spacious countertop seating, a breakfast nook, and a large dining area, make this space ideal for entertaining. The generous primary suite boasts an ensuite bathroom with a walk-in shower, custom rustic vanity with dual vessel sinks, and ample storage. Two additional large guest bedrooms, one with a murphy bed, offer versatility for office or workspace use. Outdoor enthusiasts will appreciate the covered front and rear decks, perfect for enjoying monsoon storms or winter snowfalls. The low-maintenance yard features an auto watering system, horseshoe pit, and fire-pit for stargazing evenings. One of the property's standout features is the immaculate oversized 3-car garage, which includes a designated workshop area with built-in cabinets and countertops. Practical amenities include a 500-gallon owned propane tank, automatic backup generator, and propane forced air furnace, ensuring year-round comfort. Located in a vibrant community with no mandatory HOA, residents enjoy access to trout-stocked lakes and numerous recreational activities. Experience the tranquility of Ponderosa Pines while remaining within reach of Phoenix's amenities. This exceptional property offers a unique opportunity to embrace a cooler climate and an active lifestyle in a picturesque setting.

15748 E Tumbleweed Drive Fountain Hills, AZ 85268

$1,100,000 - 4Br/3Ba -  for Sale in Fountain Hills Az 601b Blk 1,2, Fountain Hills
Open House
$1,100,000
4 Beds
2.5 Baths
2,822 SqFt
Status Active
MLS # 6740499
Property Type Single Family Residence
Price Type --
Looking for a home you don't have to do anything to because it is all new? You found it! Come see this newly remodeled home today. Enjoy cooking in this gourmet kitchen with Cafe Appliances, marble countertop with a plenty of storage. The open concept common area is perfect for entertaining. Use the Arizona Room as a den, yoga room, playroom, or gym as it has its' own brand new mini split. The massive primary room has a vaulted ceiling and a spa like bathroom with TWO closets! Large guest room off the garage has a walk in closet and can be used as a bedroom or a flex room of your choice. On the other side of the house are two more bedrooms and a full bath with an oversized shower/tub, private toilet room, linen cabinets and direct access to a bedroom. Step outside and enjoy the resort like backyard with a pool, spa, turf and oversized patio that spans the back of the home. Need more space to store things? The side yard has a great private area you can add a large storage shed to. One AC unit is brand new, the other is three years old and the mini split is new. All new flooring, cabinets in kitchen and bathrooms, new roof with 10 year warranty, new irrigation both front and back, new interior doors, new paint inside and out, new trim and baseboards, all new lighting and ceiling fans throughout, new turf, new spa heater, new Kool Deck and so much more. Come see the home for a detailed list. This home was designed by a professional designer and won't last long.

16652 N 51st Street Scottsdale, AZ 85254

$1,100,000 - 5Br/4Ba -  for Sale in Palos Verdes Ranch, Scottsdale
Open House
$1,100,000
5 Beds
3.5 Baths
3,573 SqFt
Status Active
MLS # 6760148
Property Type Single Family Residence
Price Type --
This amAZing 5 bedroom home in PALOS VERDES RANCH features primary bedroom down & 4 other bedrooms up. Tile T/O 1st floor & carpet on 2nd level. Enter home to foyer then Formal Living & Dining. Family room features Gas fireplace & Kitchen boasts white cabinetry, granite counters, & matching LG brushed stainless kitchen appliances including fridge ALL LESS THAN 5 YEARS OLD! Sept 2024 Exterior house & stuccoed back fence were painted. Completed in last 2 years: ROOF, CARPET, SUN SCREENS, ROLL UP SUN SHADES, PRIMARY BATH FIXTURES & SHOWER, TOTAL HOUSE WATER SOFTNER SYSTEM (NuvoH2O), PAINTED KITCHEN CABINETS, PRIMARY BATHROOM VANITY, & BRUSHED STAINLESS PULLS. Nest Thermostats T/O, BLINK Front door, driveway, backyard sidewalk & patio cameras w/Solar Charging. Front entry ceiling light is auto motion & front garage coach lights are photo sensor. Security system is owned and comes with CO detectors - monitored by AAA Home Security. 3 car garage with landing for extra storage and built-in cabinets. Both garage doors can be opened remotely and one garage door opener is new 9/2024. Built-in BBQ & back patio is the full width of the house and tiled. Ceiling fans on back patio & TV hookup. Interior back fence is stuccoed freshly painted to match new house paint (9/2024). Landscape lights in backyard & accent lights on patio. Desert landscaping front & back so low maintenance & watering. Pebble tec pool play pool with electric heater - in floor cleaning system & remote pool light (inside). 2 AC units - one replaced 7 years ago. Gas Heat. Wired for surround sound in family room. Speakers in ceiling of living room, master, garage & patio. These can be connected to a 2 nd audio feed. Volume control in each room. There are outlet photo sensor night lights in non-bedroom hallways for after dark.

5617 E Claire Drive Scottsdale, AZ 85254

$1,100,000 - 4Br/3Ba -  for Sale in Stratford Unit 2 Lot 117-123, Scottsdale
Open House
New
$1,100,000
4 Beds
2.5 Baths
3,058 SqFt
Status Active
MLS # 6761281
Property Type Single Family Residence
Price Type --
This beautifully updated home is conveniently located just minutes from everything Scottsdale has to offer. The residence features a spacious, open family room with vaulted ceilings, and a wood-burning fireplace. The kitchen is designed to impress, with modern smart stainless steel appliances, a wine refrigerator, quartz countertops, skylights, and a large island with extensive storage and seating. The natural light enhances the bright, airy atmosphere throughout the entire home. All the bedrooms are generously sized with the primary suite conveniently located on the first floor. It includes a sizable closet and an elegantly updated private bathroom, complete with a modern tiled shower, contemporary flooring and cabinetry, a stand-alone tub, and ample counter space w/ dual sinks Numerous 2020 upgrades, including a Trane HVAC system, a full new roof, complete tile flooring, new windows throughout, and a smart heat-pump hot water system with smart thermostats. More recent upgrades include owned solar panels, ev charger and wired for a second, and a pool heat pump (heats in cooler months and cools in summer). The outdoor space is thoughtfully designed for both beauty and functionality, featuring a large covered patio and a pebble tech pool. The xeriscape landscaping is low-maintenance and water-efficient, attracting hummingbirds, while evening accent lighting adds charm. A vegetable garden, positioned to thrive in spring without the harsh afternoon sun, offers the perfect spot for growing tomatoes. For outdoor cooking enthusiasts, the unique penny-tiled pizza oven provides a special touch. This residence represents a perfect blend of modern enhancements, purposeful design, and an excellent locationa truly exceptional opportunity for those seeking a refined Scottsdale lifestyle.

1112 E Arroyo Road Phoenix, AZ 85086

$1,100,000 - 4Br/3Ba -  for Sale in Desert Hills, Phoenix
Open House
$1,100,000
4 Beds
2.5 Baths
3,181 SqFt
Status Active
MLS # 6760214
Property Type Single Family Residence
Price Type --
Check out this wonderful 4 bed, 2.5 bath residence now for sale! Nestled on an oversized 1-acre lot w/gorgeous mountain views and featuring a facade w/ stone accents, a low-care desert landscape, oversized 3 car garage, extended paver driveway. Inside, you will discover a sizeable living area & a cozy family room w/an entertainment niche, fireplace, and wet bar. High ceilings, graceful archways, and neutral palette throughout! The eat-in kitchen is comprised of wood cabinetry w/crown moulding, a large pantry, granite counters, newer Cafe appliances, a prep island, and a charming breakfast bar. Relax in the spacious master bedroom, with direct outdoor access, a walk-in closet, and a lavish ensuite w/dual sinks. Finally, the expansive backyard includes a covered patio, extended seating area, artificial turf, and a wood burning fire pit. All of this plus tons of room for your toys with 2 RV gates including 1 dedicated RV parking with 50 amp, water, and sewer. The home of your dreams is here, hurry and act now!

3931 E Crest Lane Phoenix, AZ 85050

$1,100,000 - 3Br/3Ba -  for Sale in Village 2 At Aviano, Phoenix
Open House
$1,100,000
3 Beds
2.5 Baths
3,538 SqFt
Status Active
MLS # 6758481
Property Type Single Family Residence
Price Type --
Located in the highly desirable Aviano at Desert Ridge community, this stunning Spanish-style villa is perfectly positioned on a premium north/south-facing lot with no neighbors behind for added privacy. This beautifully crafted home offers 3 bedrooms, 2.5 bathrooms, 2 versatile lofts, a dedicated office, a sparkling pool, and a spacious 3-car garage. It also boasts a powerful owned 9.2kW solar panel system, providing substantial energy savings. The heart of the home is the open-concept kitchen and family room, featuring elegant white cabinetry, granite countertops, a gas range, a large island with stylish pendant lighting, and a striking stone backsplash. The entire upstairs has been updated with brand new wood-look luxury vinyl flooring. The oversized primary suite is a true retreat, complete with a cozy fireplace and a separate seating area. The expansive primary bathroom offers dual vanities, a luxurious marble shower, a soaking tub, and a beautifully designed custom closet. Outdoor living is elevated with two distinct spaces: a pool area perfect for relaxation and a separate entertainment area with a paver patio, built-in BBQ, and an outdoor fireplace. This home is just a short walk from the exclusive community amenities, including the clubhouse, gym, community resort style pool with swimming lanes, tennis and basketball courts, parks, playgrounds, and more. Located minutes from major freeways, top-tier Desert Ridge market place and dining, parks, farmers markets, American Express, and Mayo Clinic Hospital, this home blends luxury, convenience, and resort-style living.

5116 N 190th Drive Litchfield Park, AZ 85340

$1,100,000 - 5Br/4Ba -  for Sale in Zanjero Trails Infrastructure Phase 1a & 1b Parcel, Litchfield Park
Open House
$1,100,000
5 Beds
3.5 Baths
4,310 SqFt
Status Active
MLS # 6736228
Property Type Single Family Residence
Price Type --
Step into your luxurious 5-bedroom, 3.5-bathroom haven nestled in sought-after Litchfield Park, where breathtaking mountain vistas and captivating sunsets await you in your entertainer's paradise of a home! Your 2022 fully renovated outdoor oasis boasts a heated pebble tech pool, a built-in BBQ, a synthetic turf cornhole court, mini-golf amenities, and a cozy gas fire pit surrounded by seating. Added privacy with no rear neighbors, offering a serene retreat. Stepping inside through the double slider door, the entertainment continues in the grandeur of the great room, featuring an inviting electric fireplace, sleek polished concrete floors, and soaring ceilings. The kitchen, the heart of the home, beckons with its stainless steel appliances, double wall ovens, quartz countertops, and a convenient breakfast bar. The first floor primary bedroom boasts a grand entryway overlooking the pool, a lavish ensuite with two separate sinks, a large soaking tub, a spacious rain shower, as well as a sizable custom walk-in closet seamlessly connecting to your laundry room. The first floor rounds out with a built in custom wet bar area and additional entertainment space that welcomes the party inside. Guests have a seperate half bath on the first floor as well. The additional four bedrooms found upstairs are anchored by a generous loft and game room area along with space to build workstations in the hall area for additional work or school from home flexibility. The home features a three-car garage and is thoughtfully set back from the street to provide additional private parking in the extended driveway. INVESTORS take note, This home is an active short term rental with successful reviews and rental history and stays already booked that can transfer to you! You will want to see this one!

9834 E Adobe Road Mesa, AZ 85207

$1,100,000 - 4Br/3Ba -  for Sale in Metes And Bounds., Mesa
Open House
New
$1,100,000
4 Beds
3 Baths
3,631 SqFt
Status Active
MLS # 6762533
Property Type Single Family Residence
Price Type --

924 E Holbrook Street Gilbert, AZ 85298

$1,100,000 - 4Br/3Ba -  for Sale in Layton Lakes Phase 2 Gilbert Parcel 13, Gilbert
Open House
$1,100,000
4 Beds
3 Baths
3,615 SqFt
Status Active
MLS # 6759245
Property Type Single Family Residence
Price Type --
Rare Opportunity to Live in South Gilbert's Destination Master Plan Community of Layton Lakes! This new market offering portrays picture perfect living in every way. Open Floor Plan w/ expansive Home Spaces & Generous Owner's suite. 4 bedrooms, 3 full bathrooms and a large game room that includes a wet bar with private garage access, can be used as a teen room or mother in law suite. Fully Landscaped Premium Corner Lot that borders a Beautiful Greenbelt. Enjoy the summer days & nights in your outdoor escape featuring Sparkling PebbleTec Swimming Pool, Large Spa, Built in Natural Gas BBQ, Fire pots, raised garden, EV Charger, and so much more. Layton Lakes has been the destination community known for its picturesque scenery and neighborhood charm. It's warm and inviting, full of friendly neighbors, engaging lifestyle, and exceptional educational opportunities. Featuring several tree-lined parks, playgrounds, tennis, basketball and volleyball courts, soccer and baseball fields, lakes, streams, waterfalls, and splash pad all surrounded by scenic water lined walking trails. Nestled between both the thriving City of Chandler & Town of Gilbert, residents take advantage of the countless nearby amenities including the 101 & San Tan 202 freeways, shopping, dining, entertainment, airports, hospitals, booming business corridors, and new Southeast Valley Developments.

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