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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6621 S Balboa Drive Gilbert, AZ 85298

$995,000
4 Beds
3.5 Baths
4,015 SqFt
Status Active
MLS # 6723238
Property Type Single Family Residence
Price Type --
Luxurious Oasis in Prime Gilbert, AZ Location Welcome to a stunning home in South Gilbert! Nestled in a sought-after neighborhood, this residence offers the perfect blend of luxury and convenience. Discover unparalleled comfort and elegance in this exquisite Gilbert, AZ home, ideally located near top schools, premier shopping and dining, Seville Golf and Country Club (with add'l membership), and Gilbert Regional Park near. Step inside to find gorgeous open living area boasts tall ceilings and 4 1/2 inch baseboards, creating a spacious and airy ambiance, brand-new porcelain plank tile floors throughout. The chef's kitchen is a highlight, featuring a central island, new stainless steel vent, elegant backsplash, MARBLE COUNTERTOPS, Beautiful cabinets, and top-of-the-line appliances. The eat-in kitchen offers abundant storage, a walk-in pantry, a bar, and a cozy nook. Also features a convenient bathroom, ample closet space, formal living and family rooms, and an exercise room or office space as desired. Upstairs, a welcoming HUGE LOFT and Jack and Jill bathroom serve the generously sized bedrooms, each with its OWN Walk-in Closet. A large laundry room adds to the home's practicality. The luxurious master bath includes double sinks, a soaking tub, standing shower, and plenty of cabinet space. Additional linen cabinets and his-and-her closets provide extra convenience. Experience the epitome of luxury living in this breathtaking Gilbert oasis. The private backyard is meticulously designed for comfort and style, featuring a sparkling Pebble Tec pool with waterfalls, beautiful travertine that remains cool to the touch even in the heat of summer, a putting green, and artificial grass, perfect for entertaining. Additional features include a tankless water heater and a Tesla charger, adding to the home's modern conveniences. This home represents the pinnacle of luxury living in Gilbert, offering both elegance and functionality in a prime location.

4328 E Cheery Lynn Road Phoenix, AZ 85018

$995,000
3 Beds
3 Baths
2,684 SqFt
Status Active Under Contract
MLS # 6674394
Property Type Single Family Residence
Price Type --
FLOOR PLAN HAS BEEN RECONFIGURED - NOW FEATURES PRIMARY SUITE WITH WALK-IN CLOSET, JUNIOR SUITE AND ADDITIONAL BEDROOM AND BATHROOM. This completely remodeled property, offers open-concept living, a chef's kitchen with quartz countertops, butler's pantry, and a spacious primary suite with walk-in closet. The open concept floor plan seamlessly integrates the living spaces, creating an inviting atmosphere perfect for entertaining or everyday living. Outside, enjoy a private oasis with built in BBQ, artificial turf and even a view of Camelback! Located in the highly sought-after 85018 zip code, this home offers easy access to the best that the Arcadia area has to offer.

935 Happy Trail Wickenburg, AZ 85390

$995,000
4 Beds
2 Baths
2,019 SqFt
Status Active Under Contract
MLS # 6666446
Property Type Single Family Residence
Price Type --
Welcome to the epitome of luxury living in the prestigious Listening Hills community! Nestled amidst the serene desert landscape, this custom-built ranch-style home stands as a testament to impeccable craftsmanship and unparalleled comfort. Boasting panoramic views that stretch across the desert expanse, this stunning residence invites you to indulge in a lifestyle of tranquility and refinement. Step inside to discover a sprawling 2019-built home that exudes sophistication and elegance at every turn. As you explore the expansive floor plan, you'll be greeted by a wealth of upgrades and amenities that elevate the living experience to new heights. The heart of the home features a chef's kitchen adorned with top-of-the-line appliances, custom cabinetry, and sleek countertops perfect for culinary enthusiasts and entertainment alike. Step outside and immerse yourself in a resort-like oasis, complete with a sparkling pool and spa, surrounded by meticulously manicured landscaping that creates a picturesque backdrop for outdoor gatherings and relaxation. Additionally, the 3-car garage and separate workshop building offers the ideal space for pursuing hobbies and creative endeavors. Embracing sustainable living, this home is equipped with owned solar power and batteries, ensuring low-cost energy costs. Moreover, the owned water softener enhances the quality of water throughout the home, providing an added level of comfort and convenience. Situated on over an acre of land, privacy abounds, offering ample space for expansion or customization according to your desires. Located adjacent to public lands makes desert hikes a breeze. Tucked away on a quiet cul-de-sac, enjoy the peace and tranquility of low-traffic street access, providing a sense of seclusion while still being within reach of all that the community has to offer.

9342 W White Feather Lane Peoria, AZ 85383

$995,000
4 Beds
3.5 Baths
3,631 SqFt
Status Active
MLS # 6686001
Property Type Single Family Residence
Price Type --
Indulge in the epitome of elegance and convenience at 9342 W White Feather Lane. This gated property boasts over $60,000 in upgrades, ensuring a level of luxury that exceeds all expectations. With four spacious bedrooms and a loft upstairs, plus an office downstairs, this home offers ample space for both relaxation and productivity. From the brand new organic carpet with a memory foam pad to the meticulously chosen paint palette and state-of-the-art water system, no expense has been spared in creating a residence that epitomizes refined living. The sparkling pool in the backyard oasis promises endless enjoyment, and with no neighboring homes behind you, you can relish in beautiful, unobstructed sunsets every night.

6480 E Burris Lane Flagstaff, AZ 86004

$995,000
2 Beds
2 Baths
2,614 SqFt
Status Active
MLS # 6679317
Property Type Single Family Residence
Price Type --
AMAZING property, GREAT price! You won't find a better, more secluded 5 Acre Property in the Tall Pines AND Close to Town for Under a Million Dollars. No HOA, Picturesque Mountain Views, Previous horse property, and Mother in Law/Guest quarters and an Incredible Wrap-Around Deck. The Perfect Place to Gather Family, Entertain Friends, or Simply Escape. Additional Features Included in this Nearly 2600 Square Foot Home Include; 2BR/+Loft/2BA, Air Conditioning, Cedar Lap Siding, Huge Open Family Kitchen with Large Dining Area, HVAC Unit, 2 Water Heaters, Double Convection Oven, Skylights, and Oversized Heated 3-Car Garage! Do Not Delay, Make Your Appointment Today!

120 E Rio Salado Parkway Unit 204 Tempe, AZ 85281

$995,000
2 Beds
2.5 Baths
1,968 SqFt
Status Active Under Contract
MLS # 6703040
Property Type Apartment
Price Type --
Relish the Stunning Views of Tempe Town Lake & the Nearby Beautiful Mill Avenue Bridge From the Comfort of Your Lakefront Condominium Home at the Edgewater in Tempe Town Lake, & Embrace Luxury Living at its Finest. Feast Your Eyes on Rowing Crews, Cyclers, Walkers & Joggers While Enjoying the View Through Expansive Picture Windows. Step Outside Your Door to Hike Hayden Butte or Attend a Concert. Take advantage of On-site Amenities Which Include Heated Pool & Spa, Pizza Oven, Grills, Fitness Center, Media Room & a Lounge with Full Kitchen. Then Imagine Relaxing into an Evening with Breathtaking Views of Magnificent Sunsets & Skylines of Simmering City Lights as You Gaze Upon a Cresting Sun. Football, Basketball, Hockey, Wrestling & More are a Walk Away as is the Heart of Downtown Tempe... Where You can Enjoy a Variety of Restaurants & Shops on the Famous Mill Avenue. Enjoy Easy Access to Freeways, Entertainment, Dining, Mill Avenue & ASU, as well as Running, Walking & Cycling Paths. Set in the Walkable Heart of Downtown Tempe, This Beautiful Unit, With a Northeast Exposure, Boasts an Open Floor Plan, Expansive Picture Windows, Two (2) Outside Private Balconies, King Size Primary Suite, Luxurious Master Bath, Gourmet Kitchen, Gas Fireplace, Engineered Hardwood Flooring, Automated Hunter Douglas Blinds, Tile & Waterfall Kitchen Island. A Climate Controlled Storage Unit & Secured Parking is Included. Peace of Mind is Offered by 24 Hour Security. Sky Harbor Airport is only a 15 Minute Drive Away.

8608 E Angus Drive Scottsdale, AZ 85251

$995,000
4 Beds
3 Baths
1,942 SqFt
Status Active
MLS # 6740068
Property Type Single Family Residence
Price Type --
Welcome to this beautiful, entertaining home, located in a highly desired prime location, just southeast of Old-Town Scottsdale! This 4 bed, 3 bath, which includes a guest house, is ready for you to move-in. Home has been used as a vacation rental, making the possibilities endless for one to continue as one, or a great family home! Situated on a corner lot in the cul-de-sac with an alleyway separating your lot from the neighboring lots behind you. Inside you will find wood-plank flooring throughout all the main living areas of the home for easy care and maintenance. An open, tri-level split floor plan with the great room, formal dining, kitchen, and laundry areas all on the main level. The kitchen has plenty of counter-top space for easy prep, an eat-up bar area, all stainless-steel appliances including an all glass-top electric range, smart-fridge. Extra storage space in the laundry area. Wet bar area with beverage fridge and built-in microwave. Exit out the formal dining area to the back yard. Take a few steps down and you'll find two guest bedrooms and a full bath, perfect for the kids. The master suite takes up the entire upstairs area, complete with your own sitting area, private bar area, workspace for you, and ensuite bath. Step outside to the large backyard beautifully designed with a mixture of artificial grass, tall palm trees and desert landscaping. An abundance of patio space throughout for entertaining your guests. Your own refreshing pool to take a dip in every day. Private lounging area just off to the side. Cook up a feast on the built-in BBQ. Relax and enjoy the beautiful nights in the above-ground spa. No need to go to a resort - it's all here as your very own oasis! Just off the private lounge area is a guest house, great for the in-laws or extended-staying guests, complete with its own wet-bar and bath areas. Just a short drive to Camelback Fashion Square with plenty of shopping, eating and luxury lifestyle. No HOA makes this home the perfect place for you!

4058 E Thunderheart Court Gilbert, AZ 85297

$995,000
5 Beds
4.5 Baths
4,593 SqFt
Status Active Under Contract
MLS # 6699975
Property Type Single Family Residence
Price Type --
Tucked into a quiet Cul de Sac without any houses across the street and no 2 story homes looking in over the back yard fence, this amazing Power Ranch family home offers a privacy and serenity not found anywhere else in the neighborhood. With a recently painted and remodeled interior, this 4,593 square foot home boasts a one-of-a- kind layout that offers 5 bedrooms (3 of which have en-suite baths) 4.5 bathrooms total and one of the largest backyard pools in the community. The homeowners have recently added a modern top-of-the-line sliding glass door to the backyard that has a lifetime warranty. The recently remodeled backyard has areas for swimming, laying out in the sun, relaxing around a fire table with friends and a beautiful green turf throughout that is easy to relax on and care for. There is even room for a trampoline if your family likes to jump. The gourmet kitchen will delight the home chef with an abundance of cabinetry, high-end granite countertops, tiled backsplash, a gas cooktop with wall ovens, and a walk-in pantry. The main floor laundry room offers an abundance of upper/lower cabinetry with sink, and the 4 car garage is equipped with as much cabinet storage space as you could ever need and 2 additional covered spots provide ample parking for friends and family. This is the perfect home for anyone who likes to be near top level schools, with shopping in all directions, quick access to the highway but still wants the feel of a quiet oasis in one of the highest ranking neighborhoods for family satisfaction in the country. Connected to the massive Power Ranch green belts and walkways, you are never far from a park, one of two community pools, a walk around the lake or even a rock climbing gym. But, with a giant backyard pool that sports LED multi-colored lights, a grotto, water fall, slide and spa, all remotely controlled from your smart phone, there really is no reason to ever leave.

38724 N 10th Street Phoenix, AZ 85086

$995,000
4 Beds
3.5 Baths
3,184 SqFt
Status Active Under Contract
MLS # 6720982
Property Type Single Family Residence
Price Type --
Stunning & tranquil family home nestled on a 1+ acre quiet cul-de-sac lot, NO HOA, an RV gate & an open concept floor plan! 4 total bedrooms PLUS A DEN. 3.5 baths, including 2 master baths. Crown molded 12-foot ceilings, plantation shutters, updated fixtures throughout. The kitchen features maple crown molded cabinets, granite countertops, an island with a veggie sink, a butler's pantry, soft water & filtration, stainless steel GE monogram dishwashers (2) & an oversized refrigerator! AC's, pool equipment, water heater, soft water AND new windows all installed within the last 18 months!! Relax or entertain in the fully custom resort style backyard with a ramada, built-in BBQ, fire pit, & a fenced 6'7'' deep pool with a Baja step! BRAND NEW ARTIFICIAL TURF JUST INSTALLED!! GOT TOYS??? Extended depth 4-car garage has epoxy floors, overhead storage, a built-in workbench, 30/50 amp RV outlet & more!!

7341 N 157th Avenue Litchfield Park, AZ 85340

$995,000
4 Beds
3.5 Baths
3,465 SqFt
Status Active
MLS # 6662271
Property Type Single Family Residence
Price Type --
Upscale rural neighborhood featuring custom houses on acreage & no HOA. Horses welcome. Stunning hacienda w/old world aura on a quiet street. Luxurious custom touches. Your guests will be greeted by a huge designer Andersen door at the gracious entry & that's only the beginning. Custom wood touches from the elegant beams to the tile floors. Hand crafted tiles & brickwork display this home. Plenty of room for everyone w/quiet nooks, relaxing balcony & a gorgeous view. Home is great for entertaining & has room for large or more intimate parties. Beautiful casita perfect for a guest suite. Trees shade the huge (over an acre) private yard. Plenty of space for the toys. Home is in an exclusive rural area. It's close to Luke AFB & the 303. Freshly painted Impressive & move-in ready.

18011 N Timber Ridge Drive Surprise, AZ 85374

$995,000
3 Beds
3 Baths
2,779 SqFt
Status Active
MLS # 6748346
Property Type Single Family Residence
Price Type --
Totally Refreshed and updated MESQUITE, fabulous Estate Home in the Summit with panoramic views of #11 Fairway on Granite Falls South Golf Course. Impressive fireplace wall with metallic tile face in vaulted Great Room. Kitchen features custom Shaker Alder cabinets of varies heights and depth - extra large center island with storage galore. Dining areas for special dinner and everyday meals. You'll love the Club Room with bar for Bridge, Mahjong, Poker, board games. Master Bedroom opens to Patio. Master Bath shower is one you'll immediately want - extra large walk-in Travertine w/multiple shower heads. Guest Bedroom is en-Suite. All baths have been updated. Large covered Northeast facing Patio features an outdoor kitchen and custom private spa. New Roof underlayment install Sept 2024.

3634 E Glacier Place Chandler, AZ 85249

$995,000
4 Beds
3 Baths
3,289 SqFt
Status Active Under Contract
MLS # 6721764
Property Type Single Family Residence
Price Type --
Welcome to this stunning 4BR, 3BA home in the highly sought-after city of Chandler. Boasting an impressive 3,289 sq' of living space, this immaculate residence is a true gem in a desirable neighborhood known for its charm and convenience. The home has been meticulously cared for and features a host of upgrades that are sure to impress. Step outside to your own private paradise, where you'll find a sparkling pool with a new tranquil waterfall feature,a perfect spot to cool off on hot Arizona days. The outdoor space is ideal for dining and lounging or sitting by the fire, with plenty of room for outdoor furniture and a barbecue area for summer cookouts. Additional features include new carpet throughout, two newer A/C units and thermostats, a front iron door for added security, a new water heater, a water softener, RO system, pool has been updated with all automated multiple functions, new pool pump, outside LED lighting, wine fridges, ADT system, blower on fireplace to keep room cozy in winter. Don't miss this rare opportunity to own a piece of paradise in one of Chandler's most coveted neighborhoods. Come see this home today and experience the luxury and serenity that this home has to offer.

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