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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10314 E Morning Star Drive Scottsdale, AZ 85255

$899,000
3 Beds
2 Baths
1,817 SqFt
Status Active
MLS # 6733791
Property Type Single Family Residence
Price Type --
Step into your dream home! This fully remodeled, turnkey masterpiece will take your breath away. With 3 spacious bedrooms, an office, and 2 luxurious bathrooms, this modern residence boasts an open, inviting great room layout perfect for entertaining. Marvel at the soaring vaulted ceilings with custom beams, the elegance of Italian hardwood floors, and the sleek contemporary cabinetry paired with waterfall quartz countertops. The master suite is a true retreat, featuring a custom closet and an open, airy bathroom complete with a sumptuous tub. Recent upgrades include a brand-new A/C system, windows, and roof, ensuring comfort and peace of mind. The low-maintenance backyard is an entertainer's paradise, with an extended travertine patio and a putting green, ideal for hosting friends and family. Enjoy breathtaking sunset and mountain views, and take advantage of the nearby community pool, hiking trails, pickleball courts, playgrounds, shopping, and dining. This exceptional home is a rare find - don't miss your chance to make it yours!

3943 E Chestnut Lane Gilbert, AZ 85298

$899,000 - 5Br/3Ba -  for Sale in Bridges North, Gilbert
Open House
$899,000
5 Beds
2.5 Baths
2,626 SqFt
Status Active
MLS # 6758954
Property Type Single Family Residence
Price Type --
WOW! The Sellers have thought of everything! Professionally decorated by the same designer that staged the former models, this Bridges North gem is striking with all the right colors & finishes. Bright open floorpan with high ceilings Gorgeous Chef's Kitchen features Convection Oven, Induction Cooktop, Custom Backsplash, Quartz countertops, Oversized Pantry, Stainless Appliances 8' Paneled Interior Doors, RESORT STYLE POOL w/ Waterfall & HEAT & COOLING SETTINGS, In ground Pool Cleaning System, TRAVERTINE Decking, FIVE BEDROOMS,THREE CAR GARAGE + OWNED SOLAR for energy efficiency. Tile Flooring throughout. (List of upgrades in documents tab) You will fall in love! Edgewater Community in Bridges North features parks, playgrounds, splash pad, outdoor amphitheater, sport courts & much more!

2501 N 81st Way Scottsdale, AZ 85257

$898,500
3 Beds
2 Baths
1,962 SqFt
Status Active
MLS # 6709035
Property Type Single Family Residence
Price Type --
MAGNIFICENT, FULLY FURNISHED MID-CENTURY MODERN! This exquisite Scottsdale estate features four functional rooms, all equipped with beds, 2 full baths, open kitchen space overlooking remodeled backyard. Large chef's kitchen boasts stainless steel appliances, granite countertops & massive island. Wood plank tile flooring and new paint t/o, upgraded dual pane windows and modern accents, make this home feel brand new! Backyard has just undergone a full remodel with a new pebble tech pool, custom mural, and many spaces for entertaining inside and out! You'll love that this home boasts an interior laundry room and 2 car covered carport. All of this is just a bike ride to Old Town Scottsdale with endless opportunities for shopping, dining, and entertainment!

115 E Santa Cruz Drive Phoenix, AZ 85085

$898,230
4 Beds
3 Baths
2,997 SqFt
Status Active
MLS # 6745245
Property Type Single Family Residence
Price Type --
NEW SPEC HOME Located on ACRE Lot, NO HOA, 4 Bedroom, Great Room Concept**Room for RV Parking and/or Future RV Garage**4 Car Garage w MyQ openers, pre-plumbed for Soft Water, Utility Tub & Garage Service Door**Front Parking has 20' Pad**Ceramic Tile T/O except Bedrooms**1 Bdrm/Bath is Guest suite split from Other Bedrooms **2 bdrms Share Bathroom (Jack/Jill )**Raised Height Vanities at all Bathrooms**Kitchen Offers Granite Waterfall Island, Neutral colored Cabinetry, Stainless Appliances, Smooth Radiant Cooktop, R/O Pre-plumbed to Refrigerator, Large Pantry**Owner Suite w Dual Vanities/Separate Shower/Tub/Private Toilet/Spacious Closet**Laundry Rm w/Built In Cabinetry**8' Tall Interior Doors**Oversized BaseBoards**Low E Vinyl Windows**Covered Back Patio** Builder Incentive w Prefer Lender

19412 E Camina Plata -- Queen Creek, AZ 85142

$898,000
3 Beds
3 Baths
2,155 SqFt
Status Active
MLS # 6706767
Property Type Single Family Residence
Price Type --
**Seller will pay for a 2-1 buy down or 1% permanent rate buy down, lowering your payment nearly $1000/month!** PRICED BELOW MARKET! Winner of BEST HOME on Tour! Welcome to your dream home in Queen Creek! This beautifully renovated 3-bed, 3-bath home has undergone a complete high-end transformation. Despite the extensive $200K+ REMODEL & ADDITIONS, the home retains its original, classic architectural charm and is the perfect blend of modern luxury and serene country living. Nestled on OVER AN ACRE, this exquisite property, with NO HOA, promises both tranquility and convenience in one of the area's most sought-after locations. From the studs up, no detail has been overlooked. This home has been meticulously rebuilt with high-end finishes & amenities, as well as updates to the electrical, plumbing/fixtures, HVAC ducting, roof, insulation, a bathroom added and much, much more! The heart of this home is its gourmet kitchen. Featuring high-end custom, soft close cabinetry, SS appliances, quartz countertops, custom hood & tile backsplash & huge center island w/ lots of storage space. The open layout flows seamlessly into the dining and living areas, perfect for hosting family gatherings or dinner parties. The living spaces are bathed in natural light, highlighting the beautiful flooring and designer fixtures throughout. The spacious master suite is a true retreat, complete w/ a luxurious ensuite bathroom featuring a walk-in shower, dual vanities & massive walk-in closet w/ custom built-ins. The two additional bedrooms are equally spacious and well-appointed, each with walk-in closets, as well as access to two additional, beautifully designed bathrooms. These spaces offer comfort and privacy for family members or guests. Enjoy outdoor living at its finest, where over an acre of land offers endless possibilities for relaxation and recreation or even the addition of a pool. Bring the horses, RV, Quads...all the toys! Enjoy a cute playhouse for the kids to play in, as well as a renovated structure w/ AC that offers numerous options for use, whether it be a workshop, teen retreat, game room, gym, storage, home school space! If you're a horse lover you'll love the horse set up w/ corral offering 2 stalls, arena, tack/storage room & separate pasture w/ irrigated lot. Located close to top-rated schools, shopping, and dining, this home offers the best of both worlds - luxury & convenience. Don't miss this rare opportunity to own a fully renovated, move-in-ready home in one of Queen Creek's most desirable neighborhoods. Schedule your private tour today and experience firsthand the unmatched beauty and quality of this exceptional property. Your dream home awaits!

59 N Islands Drive Gilbert, AZ 85233

$898,000
5 Beds
4.5 Baths
3,374 SqFt
Status Active
MLS # 6745790
Property Type Single Family Residence
Price Type --
BUILT IN 2017 and GREAT LOCATION within GATED Enclave North Shore Community! One of the LARGEST LOTS. Close to Everything - 5 minutes from DOWNTOWN Gilbert! 5 Bed/4.5 Ba, DEN, BONUS ROOM, 3,374 sq ft! Spacious Kitchen, HUGE GRANITE ISLAND w/Pendant Lighting, SS Appliances, GAS Range, Walk-in Pantry! Tile Wood Flooring, Bright n' Airy, Large Sliding Glass Doors Opens to RESORT STYLE BACKYARD! Shasta Sparkling POOL w/ BAJA Shelf, BUILT in 2019, Removable POOL FENCE, Expanded Covered Patio w/ MISTING SYSTEM, Built-in BBQ Island, Turf Area, Surround Sound. All 5 Beds upstairs, Huge Primary Bed/ Bath, Large Shower, Soaker Tub and Walk-in Closet! HUGE Guest Bedrooms, 2 are EnSuite! Upstairs Laundry, pre-plumbed utility sink. SEE List of Upgrades. CLICK 2nd photo for VIDEO Tour! TOTAL UPDATES 2020 - 2024 $57,315 HOME UPDATES Barn Door in Master Bedroom 5/2024 Kitchen Backsplash 12/2023 AC Current Controllers 5/2023 Kitchen Faucet 1/2023 Fridge Ice Maker 1/2023 Dish Washer 2/2022 Carpet for Playroom 11/2021 Garage Ceiling Storage 10/2021 Microwave 3/2021 Gas Oven Ranch 11/2020 Window Blinds 9/2020 Refrigerator 8/2020 Carpet in Home 8/2020 TOTAL $15,507 EXTERIOR Pool Filter 5/2024 Misting System Backyard 4/2023 11 x 18 Closed Pergola w/Fan & LED Lights 4/2023 Landscaping Hedges 10/2021 Pool Fence 2/2021 Electrical for Light & BBQ Islands 11/2020 Complete Yard 10/2020 Includes: 920 Sq ft Bermuda Pro Synthetic Turf L Shaped BBQ Island & 4 Burner Grill Grey Pavers for New Patio Grey Pavers on Side of House for Storage TOTAL EXTERIOR $41,807 ADDITIONAL UPDATES SHASTA POOL BUILT IN 7/2019 NOTE: Price of adding a pool has now gone up. Seller reached out to the pool builder Shasta for an estimate to build a pool now. That price was $53K to $72K for similar size/shape type pool. Newer Construction within the past 7 years - Home Built in 2017. So the Roof, AC Units, Gas Water Heater, Garage Door Opener - All Major items are only 7 years old! FEATURES OF PROPERTY & LOCATION - Gated Community with only 73 Homes - Very Private - Home Features Over 3,300 sq ft of living space and is on one of the larger lots within the community CONVENIENTLY LOCATED - Fry's Grocery 2.0 miles - Safeway Grocery 2.4 miles - Downtown Gilbert 2.3 miles - Freestone Park 3.0 miles - SanTan Village 7.0 miles - Elementary School - Less than 1 mile - High School - Less than 1 mile - Sky Harbor Airport - 16 miles (only 18 - 22 minutes)

13619 W Springdale Drive Sun City West, AZ 85375

$897,200
3 Beds
2.5 Baths
3,662 SqFt
Status Active
MLS # 6760733
Property Type Single Family Residence
Price Type --
This ''One of a Kind Mansion'' Del Webb Gold-Key Custom Home in Sun City West. The WOW factors are innumerable in this Diamond. Enter through a Grand, Front Courtyard leading to Bold Double Doors. With approximately 3,662 sf of living space, this 3 bedroom, 2.25 Bathroom home is filled w Luxury & Opulence. Exceptional features in this home include expanded guest suite w a private entrance, home theater w disappearing screen & built in surround sound,, private exercise room, 2 fireplaces & rich custom library. The Chef's kitchen is large & efficient w a center island, Corian counter tops, white cabinetry, newer stove top, dual built in ovens & tilt out top. 39 Solar panels that are Owned. All this & more, plus all the amenities of Sun City West. This home offers ultimate LUXURY.

21389 W Hillcrest Boulevard Buckeye, AZ 85396

$896,397
4 Beds
3.5 Baths
2,780 SqFt
Status Active
MLS # 6739139
Property Type Single Family Residence
Price Type --
Gorgeous curb appeal, 4 bed, 3.5 bath, 3 car garage with enclosed study; incredible quartz countertops in kitchen with upgraded GE stainless appliances, tiled backsplash, huge island and tons of storage. Open plan with 90 degree sliding glass door to outdoor living area. Upgraded plank tile flooring, upgraded carpet/tile and countertops in owner's retreat bath. Sunroom with vaulted ceiling; Perfect home for entertaining. 2X6 CONSTRUCTION; EXTENSIVE NEW HOME WARRANTY; see you soon!

10226 N 171st Drive Waddell, AZ 85355

$895,900
4 Beds
3.5 Baths
3,012 SqFt
Status Active
MLS # 6650681
Property Type Single Family Residence
Price Type --
Welcome to this beautiful 4 bedroom, 3.5 bathroom, modern style home in Waddell with exceptional design and finishes. When you enter this home, you'll notice the elegant open concept floor plan perfect for modern living with a spacious rooms, kitchen and casual dining joined by a perfectly quartz island. High ceilings allow wonderful natural light to fill this space through a large sliding door that leads to your covered patio that is perfect for indoor-outdoor living. More...

43702 N 49th Lane New River, AZ 85087

$895,777
4 Beds
2.5 Baths
3,274 SqFt
Status Active
MLS # 6715004
Property Type Single Family Residence
Price Type --
Welcome to your dream home in the serene city of New River! This immaculate 4-bedroom, 2.5-bathroom property boasts luxury and comfort at every turn. Situated on a sprawling lot just under half an acre, this meticulously upgraded residence offers over $250K of recent upgrades, ensuring an unparalleled living experience. Step into the backyard oasis and be greeted by a newly installed heated/cooling sparkling pool. The extended patio comes complete with misters, ideal for outdoor entertaining year-round. Enjoy al fresco dining in the outdoor kitchen, built-in BBQ area, or practice your golf skills on the professionally installed putting greens, all while soaking in breathtaking mountain views. This home is not only a paradise for outdoor enthusiasts but also offers premium interior features. Revel in the comfort of new windows, ensuring energy efficiency and abundant natural light throughout. Stay cool during Arizona summers with brand new AC units, while plantation shutters add a touch of elegance to every room. Additionally, the community's HOA allows for RV parking, facilitated by the convenient RV gate. The property is located next to great schools, trails, and Lake Pleasant. Whether you're seeking tranquility amidst nature or luxurious amenities for entertaining, this property has it all. Don't miss your chance to call this spectacular residence your own!

2522 E Pleasant Lane Phoenix, AZ 85042

$895,000
4 Beds
3.5 Baths
2,782 SqFt
Status Active
MLS # 6706622
Property Type Single Family Residence
Price Type --
### Luxurious Corporate House in Gated Community - 15 Minutes from Sky Harbor International Airport Welcome to the epitome of luxury and comfort in the heart of Phoenix! This magnificent corporate house, ideally located just 15 minutes from Sky Harbor International Airport, offers the perfect retreat for executives #### Key Features: - **4 Bedrooms 3.5 Baths** - **Two Master Suites:** Both exquisitely furnished with high-end decor and top-of-the-line Amerisleep mattresses, ensuring unparalleled comfort. - **Office:** A well-equipped office space to cater to all your professional needs. - **High-End Furnishings:** Every corner of the house boasts quality furniture designed for comfort and style. The living areas are inviting, while the bedrooms promise restful nights with sumptuous bedding and mattresses. - **Fully Furnished:** The entire home is perfectly furnished with modern amenities and stylish decor, so you can move in without any hassle. - **Climate-Controlled Swimming Pool:** Enjoy the luxury of a climate-controlled swimming pool, providing a serene oasis to relax and unwind even during the hot Arizona summers. Perfect for evening swims or a refreshing dip after a long day. - **Spacious Kitchen:** A gourmet kitchen fully equipped with top-grade appliances, granite countertops, and everything you need to prepare a quick snack or a gourmet meal. - **Quiet and Secure:** The property is located in a serene, gated community ensuring maximum security and privacy. Perfect for executives needing a quiet and secure environment for extended stays. This home is a perfect blend of elegance and practicality, tailored to meet the highest standards of corporate living. Whether you are in Phoenix for a short business trip or an extended stay, this property promises to be more than just a houseit's a home. #### Additional Amenities: - High-speed internet and smart home features. - Laundry room with modern washer and dryer. - Two-car garage. - Landscaped gardens with outdoor seating areas. Welcome to your new home in Phoenixwhere luxury meets convenience.

1704 E Snapdragon Court Payson, AZ 85541

$895,000
4 Beds
4 Baths
3,410 SqFt
Status Active
MLS # 6734399
Property Type Single Family Residence
Price Type --
Wonderful Mountain Retreat located in prestigious gated golf community of Chaparral Pines awaits you. Beautiful wood flooring guides you through the spacious foyer into the great room featuring stone floor-to-ceiling gas fireplace. Open floor plan brings living room, dining area, and kitchen all together for many festive occasions with family and friends. Kitchen boasts Cambria Quartz countertops and cherry cabinets, breakfast island, walk-in pantry and stainless-steel appliances. Large patio doors lead to wonderful, covered porch that wraps around to the front of the home for many enjoyable outdoor evenings. Large patio captures spectacular mountain and pond views and provides plenty of outdoor living and entertaining space. Main floor has master bedroom with large walk-in closet and private bathroom with soaking tub and separate shower. Second bedroom on main floor has attached full bath. Also located on the main floor are climate-controlled wine cellar, powder room, and laundry room with ample storage. One-of-a-kind upper level has two bedrooms with walk-in closets, full bath, separate office, and large living room/game room area. Wonderful for entertaining with room for friends and extended family. Oversize garage with storage cabinets, room for two vehicles and side-by-side or golf cart.

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