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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3609 N 188th Avenue Litchfield Park, AZ 85340

$839,900
4 Beds
2.5 Baths
3,067 SqFt
Status Active
MLS # 6712128
Property Type Single Family Residence
Price Type --
***IGNORE DAYS ON MARKET***Stunning residence nestled on over 1 ACRE of land in gated Litchfield Farms, this is the one you've been waiting for! CIRCULAR DRIVEWAY, a spacious 3-car garage, & an RV gate will greet you upon arrival. Build your FUTURE DETACHED RV garage for all your toys! Home exterior just freshly painted. Discover an impressive interior showcasing tile flooring, a neutral color palette, vaulted ceilings, & a delightful FIREPLACE. The remarkable kitchen boasts staggered cabinets with CROWN MOULDING, built-in appliances, a pantry, a wall oven, recessed lighting, & an island complete with a breakfast bar. The primary bedroom features soft carpet in all the right places, private outdoor access, an immaculate ensuite with dual sinks, & a walk-in closet. You will find an oversized backyard offering TONS of potential to be transformed into your own private oasis! Don't miss out on this one!

2034 W Whisper Rock Trail Phoenix, AZ 85085

$839,900
4 Beds
3.5 Baths
2,993 SqFt
Status Active
MLS # 6711754
Property Type Single Family Residence
Price Type --
Welcome to your new home, a stunning residence in the desirable neighborhood of SONORAN FOOTHILLS . This spacious 2,993 sqft home offers 4 bedrooms, 3.5 bathrooms, and a range of beautiful features that provide both comfort and style. As you enter, you're greeted by a charming courtyard, perfect for enjoying Arizona's beautiful weather. The main floor boasts an open-concept living area including a large kitchen with modern appliances, a large island, and plenty of cabinet space, seamlessly flowing into the dining and living rooms—perfect for entertaining guests or spending quality time with family. The primary suite serves as a tranquil retreat with an ensuite bathroom featuring dual vanities, a soaking tub, and a separate shower. Upstairs, there's a versatile den, ideal for a home office or study. The additional three bedrooms are generously sized, offering ample closet space and access to well-appointed bathrooms. Don't miss the opportunity to make 2034 W Whisper Rock Trl your new address in Phoenix!

6052 N 80th Way Scottsdale, AZ 85250

$839,900 - 4Br/3Ba -  for Sale in La Casa Rica 3, Scottsdale
Open House
$839,900
4 Beds
3 Baths
2,061 SqFt
Status Active
MLS # 6746136
Property Type Single Family Residence
Price Type --
Wonderful home tucked into the La Casa Rica enclave in Park Scottsdale! A two-story beauty on a large cul-de-sac lot. Two levels of living in this light & bright home. Front room has soaring ceilings, & extends to the formal dining space. The kitchen has a breakfast nook overlooking the back yard. Living space with a fireplace opens into the kitchen & out onto the covered pool-side patio. A full bedroom & bathroom downstairs. Upstairs, a large primary suite has a walk-in closet, & a bathroom with a soaking tub, dual vanities, & separate shower & toilet. Step out onto the private balcony & enjoy mountain views. Two additional guest bedrooms & guest bath are upstairs. A large side-yard has mature citrus trees, & storage. Step out of the living room onto the covered patio & pool. Fabulous cul-de-sac lot in a very desirable community. Just steps from Saguaro High School. Home of the Sabercats, the acclaimed Science & Math Academy, and Nationally recognized Football & Baseball team. Just down the road is the A+ Rated Pueblo Elementary, Scottsdale Dual-Language Immersion school. Miles of park trails begin at this communities edge, and lead throughout South Scottsdale and Old Town. Just minutes to Old Town Scottsdale, Fashion Square, The Shops at 5th Ave, and more. Close to the 101 Freeway, Talking Stick Resort, Spring Training Baseball Fields, Top Golf, Scottsdale Community College, ASU, Kierland, and so much more!

7550 W Gelding Drive Peoria, AZ 85381

$839,900 - 3Br/3Ba -  for Sale in Bella Pasa, Peoria
Open House
$839,900
3 Beds
2.5 Baths
2,500 SqFt
Status Active
MLS # 6646337
Property Type Single Family Residence
Price Type --
*QUICK MOVE IN * at Bella Pasa! 3.99% FIRST YEAR RATE / 5.99% FIXED* On an 8,048 sq/ft lot, with approximately 2400 sq ft on a single level, with 10' ceilings and 8' doors, this home has unique roof lines, far different than the common SW style. A HUGE extended 3rd bedroom measuring 14.5X15!! A spacious 3 car split garage with upgraded electrical package including 220V/50 AMP outlet that should please the whole family! The gourmet kitchen is stunning with LG appliances including wall ovens just across the way from the gorgeous extended atrium sliding glass doors in the great room leading into the backyard. For the last act... a beautiful custom designed front yard landscaping package with a paver driveway. 3.99% first year rate (restrictions apply) on a 2-1 Buy Dow

3560 E Megan Street Gilbert, AZ 85295

$839,400
6 Beds
3.5 Baths
4,421 SqFt
Status Active Under Contract
MLS # 6692518
Property Type Single Family Residence
Price Type --
IGNORE DAYS ON MARKET! FRESH PAINT & CARPET July 2024! Welcome to LYONS GATE! Everything you need is within 5 minutes of this dream home- just off the 202 freeway and moments from the new Agritopia Epicenter!. Enter the foyer with sprawling ceilings in this bright and open floor plan! The GOURMET KITCHEN overlooks an oversized family room and is an entertainers dream with an extra large island, stainless steel appliances, and a huge Electrolux PROFESSIONAL SERIES FRIDGE! The kitchen overlooks the spacious and private back yard complete with extended patio, lush grass, SPORTS COURT, and plenty of room for your dream pool! Upstairs you will find an OVERSIZED LOFT/GAME ROOM along with 5 of the 6 spacious bedrooms! This home also features an enormous EXTENDED LENGTH GARAGE.

6991 E Bourbon Way Prescott Valley, AZ 86315

$839,000
4 Beds
3 Baths
2,536 SqFt
Status Active
MLS # 6730760
Property Type Single Family Residence
Price Type --
This Gorgeous 2536 Square Foot Home is UNDER CONSTRUCTION by Reputable Dan Warta Construction: with 3Bedrooms, 2.5Bathrooms, 3CarGarage, + Den (4th Bedroom) on 4 ACRES +/- in Covetable COPPERFIELD with Outstanding VIEWS!! Home will have Solid Stone Accents, Open/Split Floor Plan, GREAT ROOM Concept, 2 Tone Paint, Vaulted Ceilings, Ceiling Fans + Upgraded Lighting, (Wood Plank) Luxury Vinyl & Carpet for flooring, & Gas Fireplace w/Solid Stone accents on Chimney Face. Kitchen will be well appointed with Antiqued White Cabinetry w/Glazing, GRANITE Countertops, Stained Wood ISLAND, Stainless Steel Appliances, Pantry, & Under Cupboard Lighting. Master is Spacious, has dual Sinks, Garden Tub, Large Shower, & Large Walk-In closet. Additional Features include large Laundry Room, Paver Driveway/Walkway/Patio/Porch, and large Covered Patio with Knotty Pine T & G Lid, Spray Foam Insulation make this home very Energy Efficient, & Enclosed Soffit System. Most of the photos are from a prior model with same floor plan and similar finishes of what to expect.

41910 N Emerald Lake Drive Anthem, AZ 85086

$839,000
3 Beds
2.5 Baths
2,661 SqFt
Status Active Under Contract
MLS # 6756133
Property Type Single Family Residence
Price Type --
Set along the 4th hole of the prestigious Persimmons course in Anthem Golf & Country Club, this exquisite residence combines elegance with modern comfort. A refined paved courtyard entry welcomes you into a bright and inviting living space, where extended windows provide uninterrupted views of the lush golf course. The gourmet kitchen has been thoughtfully updated with top-of-the-line appliances, ample cabinetry, and an expansive island, all designed to inspire culinary creativity. The adjoining great room, with its striking stacked stone fireplace, offers the perfect setting for both relaxation and entertaining. The master suite is a true retreat, boasting ample room for luxurious furnishings, a spacious walk-in closet, and an updated en-suite bath. Two additional guest bedrooms are connected by a Jack and Jill bathroom, and the oversized office/den provides an exceptional space for work or leisure. Outdoors, the private backyard oasis features elegant pavers, a built-in BBQ with an eating bar, a fire pit, and a spacious covered patioall with serene views of the course. Recent updates include a new roof, two A/C units, and a mini split to cool the garage. Anthem Country Club offers the pinnacle of luxury living with two clubhouses, dual 18-hole golf courses, resort-style pools, fitness centers, and premier tennis and pickleball facilities.

6922 E Orion Drive Scottsdale, AZ 85257

$839,000
3 Beds
2.5 Baths
2,251 SqFt
Status Active
MLS # 6754527
Property Type Single Family Residence
Price Type --
WELCOME TO premier executive home in the prestigious gated community of Skye on McDowell. This stunning 2,251 sqft residence, featuring 3 bedrooms and 2.5 bathrooms, epitomizes modern luxury in the heart of Scottsdale. The open floor plan is highlighted by 11-foot ceilings, 8-foot doors, and walls of glass that flood the space with natural light. The gourmet kitchen is a masterpiece, featuring custom cabinetry with soft-closing mechanisms, and a walk-in pantry. Additional amenities include a R.O. system and a soft water system. The home's spacious and welcoming living areas are perfect for entertaining. Enjoy seamless indoor-outdoor living. The meticulously maintained community offers a heated pool, spa, gym, and BBQ pavilion just steps away. Situated minutes from Old Town Scottsdale,

8125 E Sheridan Street Scottsdale, AZ 85257

$839,000
3 Beds
2 Baths
2,033 SqFt
Status Active
MLS # 6760508
Property Type Single Family Residence
Price Type --
Nestled on a peaceful interior lot, this beautifully remodeled home offers modern elegance with timeless appeal. Step inside to experience a thoughtfully designed floor plan, where natural light fills every corner, creating a warm and inviting ambiance. At the heart of the home is the stylishly upgraded kitchen, featuring stainless steel appliances, brand-new cabinetry, and luxurious finishes. The spacious primary suite serves as a private retreat with a spa-like ensuite bath and generous closet space. Additional bedrooms provide flexibility for guests, while the bonus room offers endless possibilities as an office, studio, or whatever suits your lifestyle. Outside, the private backyard beckons you to unwind in the serene outdoor space, with real grass and sparkling pool. Updated plumbing, new water heater, newer windows, new landscaping (under warranty), new fixtures throughout the home and more. Located in a sought-after neighborhood near Old Town Scottsdale, this remodeled home offers the perfect combination of peace and convenience. From all popular venues, to high end shopping, close to freeways, parks, hiking and A+ rated schools.

2044 N 71st Street Scottsdale, AZ 85257

$839,000
3 Beds
2 Baths
1,879 SqFt
Status Active
MLS # 6742221
Property Type Single Family Residence
Price Type --
This South Scottsdale property is fully furnished & ready for AIRBNB/VRBO! The spacious 3 bed, 2 bath home sits on a corner lot, boasts an open floor plan, tons of natural light, unique designer touches throughout & all brand new appliances including washer & dryer inside. Enjoy the backyard oasis w/ a HEATED pool (Heater installed 2023), firepit, turfed putting green. This home is just minutes to Old Town Scottsdale, Scottsdale Stadium, Spring Training, world-class golf courses, Camelback Mountain hiking, Fashion Square Mall & hundreds of restaurants and entertainment options.

1156 W Mclaws Avenue Snowflake, AZ 85937

$839,000
5 Beds
3 Baths
4,651 SqFt
Status Active
MLS # 6704225
Property Type Single Family Residence
Price Type --
Stunning Home with Panoramic Views in Centennial Country Acres Experience the tranquility of open spaces and unobstructed views with this magnificent 5-bedroom, 3-bathroom residence set on a sprawling 2+ acres in the highly desirable Centennial Country Acres. Every inch of this home radiates a warm, welcoming ambiance. Stepping into the foyer, you are greeted by the elegance of a formal parlor, setting the tone for the rest of this impressive home. The heart of the house is in the expansive open floor plan, where the living, dining, and kitchen areas flow seamlessly together, adorned with yards of luxurious granite counters and rich solid wood cabinets—it's a chef's dream realized. Retire to generously-sized Click ''More''... Retire to generously-sized bedrooms, each designed with comfort in mind, while the separate guest suite offers privacy and a plush retreat for visitors. The vast walk-out basement unfolds as the ultimate playground for family fun and games inside and out, offering endless possibilities for entertainment and relaxation. Outside, the property doesn't disappoint with its spectacular, panorama that invites you to soak in the beauty of every Arizona sunset and Temple Views from you open back deck. The attached 2-car garage provides convenience while the 2-car detached garage/shop/barn is ready for your projects and storage needs. Useful and enjoyable landscaping boasts 13 fruit trees of various varieties, a garden, grape vines, deep covered bbq pit, fire ring...too many features to list. Designed and built with love by its only owner, this home isn't just a statement of quality and style, it's a canvas for your life's memories. Schedule a viewing and prepare to be captivated by the serene country living that awaits in Centennial Country Acres.

6233 S Rochester Drive Gilbert, AZ 85298

$839,000
4 Beds
3.5 Baths
4,553 SqFt
Status Active
MLS # 6741550
Property Type Single Family Residence
Price Type --
This beautiful and spacious home in Shamrock Estates features oversized rooms and ample storage. A turret entry welcomes you into this well-maintained home, boasting both an eat-in kitchen and formal dining area. An entertainer's dream with a sizable gourmet kitchen that includes a walk-in pantry, gas stove, island, and gorgeous granite counters. Large windows in the kitchen and family room offer views of the professionally landscaped backyard and pool with programmable LED light and landscape lighting to highlight its soothing features at night. Tile located throughout the lower level, with the staircase and upper level upgraded to rich hardwood flooring. The expansive master suite includes an attached sitting room, perfect for an office or private retreat to unwind. Updates include... Recent complete interior paint including garage, new water heater, smart thermostats, new a/c upstairs, 30 new can lights added t/o home, plantation shutters, Roman blinds, custom window treatments. The perfect for entertaining family room just updated with electric fireplace, recessed area for 85 tv, storage benches added under windows, new exterior sun shades, new fridge and more... Gilbert Regional Park, situated at the neighborhood's west end, boasts an iconic playground, zip lines, and an expansive splash pad. The park features a lake, amphitheater, event lawn and numerous athletic courts for tennis, pickleball, and basketball, providing endless entertainment for residents. Great location near shopping, restaurants and all Gilbert has to offer!

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