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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2631 W Desert Hills Drive Phoenix, AZ 85086

$829,000
4 Beds
3 Baths
2,930 SqFt
Status Active Under Contract
MLS # 6756208
Property Type Single Family Residence
Price Type --
Welcome to this exceptional, one-owner custom home nestled on nearly an acre of prime real estate! This meticulously maintained property offers a spacious open-concept layout, featuring soaring ceilings, a fully finished 3-car garage, and RV gate access on two sides of the lot. With 4 generously sized bedrooms and 3 full bathrooms, this home is perfect for both comfort and entertaining. The kitchen is at the heart of the home, with ample space for cooking and gathering. Recent upgrades include brand-new AC units, a new hot water heater, and a comprehensive whole-home soft water system, ensuring modern comfort and efficiency. The expansive backyard is a blank canvas, ready for your dream desert oasis. Whether you envision a resort-style pool, a large workshop, or even using the space for boat, RV, and toy storage to generate income, the possibilities are endless - all with the added benefit of no HOA restrictions. Don't miss the opportunity to own this rare gem with limitless potential. Schedule your private tour today and imagine the possibilities!

4921 E Michigan Avenue Scottsdale, AZ 85254

$829,000
3 Beds
2 Baths
1,951 SqFt
Status Active Under Contract
MLS # 6760864
Property Type Single Family Residence
Price Type --
Brand new remodel! Elevate your lifestyle in N Scottsdale's exclusive magic zipcode, with this refreshing remodel in a gated community. Features include unparalleled design, luxury vinyl flooring, all new chef's kitchen, fully updated primary bath with glass-enclosed shower, freestanding tub, and dual sink complemented by bespoke closet storage. New sliding glass doors lead to wonderful indoor/outdoor experiences in this price range. High ceilings, smooth finish walls, and a fluid open space welcome you into a radiant atmosphere, with 8' tall interior doors, meticulously crafted custom cabinetry, GE Cafe appliances, and extraordinary touches like a natural gas fireplace, wine cooler, and in-ground spa, to distinguish this cozy home from all others in the neighborhood.

8832 W Golddust Drive Queen Creek, AZ 85144

$829,000
3 Beds
2.5 Baths
2,861 SqFt
Status Active
MLS # 6723340
Property Type Single Family Residence
Price Type --
*Reduced Price* Motivated Seller, bring an offer and let's get a deal done! Sitting on a little over 3/4 of an acre lot just below the San Tan Mountain is this Beautiful single story home in the Goldmine Equestrian Estates. Not far from the city, escape to this little country community with great neighbors and trails for horseback riding, hiking and bike riding. Got horses?? Bring'em, home has a fenced in corral, stalls and tack room all ready for you. This home has a wonderful layout and open concept with large kitchen/island and great room, perfect for entertaining. It has 3 bedrooms, 2.5 baths and a large bonus room/game room and or office...lots of possibilities!! Spacious Owners bedroom with large walk-in closet and renovated bathroom that offers a beautiful walk-in shower. It also has a 3 car garage with a rear garage door to the back yard. Lots of extra space to add a RV Garage, Casita, and or any kind of building you want to fit your needs. Priced below current comps and move-in-ready for its new Owners!! Put this on your list to see, you'll be glad you did!

1510 E Big Rock Road Tucson, AZ 85718

$829,000
3 Beds
2 Baths
2,495 SqFt
Status Active
MLS # 6729524
Property Type Single Family Residence
Price Type --
Price Reduced! Your peaceful escape in the coveted Shadow ROC neighborhood is now available for $829,000! Perched on a hilltop, this serene home offers unmatched privacy and breathtaking views of the Catalina Mountains, all on a spacious 0.81-acre lot. Just minutes from premier shopping, scenic hiking trails, and world-class golf courses, this home offers a harmonious blend of convenience and tranquility. Built with solid craftsmanship, it stands as a canvas for your personal touches and upgrades. Plus, the recent addition of a $50,000+ solar system with 28 high-performance panels brings energy-efficient living and long-term savings, ensuring you can enjoy comfort without compromise. Ask for a tour today and discover the balance of nature and convenience in Shadow ROC. SCHOOLS Elementary: Harelson Elementary School Middle: Cross Middle School High: Canyon Del Oro High School SOLAR SYSTEM Solar System (recently installed at a cost of $52,900): 28 solar panels (Freedom Forever #MP-BBB-370) x 370 W each = 10.360 kW DC power (7.6 kW @ 240 V); Solaredge SE7600H-US inverter

961 E Blue Spruce Lane Gilbert, AZ 85298

$828,000
6 Beds
3.5 Baths
3,128 SqFt
Status Active
MLS # 6750625
Property Type Single Family Residence
Price Type --
Discover your perfect oasis in south Gilbert with this exceptional move-in ready home w/ 2 BRAND NEW 4 ton AC units! Designed for both comfort and luxury, the newly remodeled open-concept kitchen is the heart of the home, boasting sleek quartz countertops w/ waterfall feature, high-end stainless steel appliances, gorgeous new cabinets, & even an R/O system producing Alkaline water! The kitchen seamlessly flows into a beautifully connected courtyard, complete with pavers & a commercial misting system, making it an ideal space for outdoor dining and entertaining. The backyard is a true retreat, featuring a 2021-built private saltwater PebbleTec pool where you can relax and unwind, as well as fresh landscaping. The open layout ensures that indoor and outdoor living blend effortlessly, creating a harmonious environment for gatherings or quiet family moments. The entire space has new flooring, fresh paint, new faucets, new lighting, and custom window treatments. Situated in a sought-after Gilbert neighborhood, close to & walk/bikeable to top schools, shopping, and dining, this home is a rare find. With spacious bedrooms and thoughtful upgrades throughout, this property offers a lifestyle of elegance and convenience. Don't miss the chance to make this your forever home, and join the best neighbors on the planet here on Blue Spruce Lane!

3125 W Desert Lane Laveen, AZ 85339

$827,900
4 Beds
2.5 Baths
3,458 SqFt
Status Active
MLS # 6750503
Property Type Single Family Residence
Price Type --
Nestled strategically inside the Estates at Sierra Vista three miles from the 202 Expressway is your personal retreat from busy city living to private, refined luxury amongst some of the most mesmerizing sunsets and unparalleled panoramic views of the Estrella's and South Mountain. This stunning 3,458 square foot custom, north/south exposure home, is situated on a 13,503 sq ft corner lot, with much sought after privacy, having no residence to the left (East) or behind (South) the residence. Enter through the custom steel security screened front door to the inviting foyer that views the formal living & dining areas exuding warmth, elegant finishes & eloquent chandelier lighting. The generous kitchen overlooking the café area & spacious family room provides the home chef CLICK MORE or entertainer with double ovens, new gas stainless steel cooktop, large sink, newer built-in microwave, granite countertops & a large pantry with sliding doors for easy accessibility. Plantation shutters on the East, West & South windows with 90% sunscreens for added comfort on warmer days. Vinyl blinds on all other windows, 8-foot doors and Dual distinct zone AC units with dedicated programable thermostats. The laundry room is equipped with gas or electric connection & a coveted utility sink. Safety and security are uncompromised with extensive security features such as smoke & carbon monoxide detectors placed strategically throughout, front door ring camera, patio & backyard cameras, ADT security system covering all doors, windows plus breaking glass & motion sensor lighting at the exterior South & West sides. Pamper yourself with beautifully upgraded new laminate flooring in entry, hallways, living, dining & bedroom 4, carpeted comfort in master primary suite plus bedrooms 2 & 3. Enjoy large tile floors in the 2 full baths, hallway half bath, kitchen, & laundry. The serene primary suite features unique recessed ceiling, beautiful tiered-light ceiling fan, a private steel security screened door to the covered patio, complete with a luxurious en-suite bathroom featuring a whirlpool tub, large shower & overly abundant closet space. Private office/den could be used as additional 5th bedroom with the 3 additional bedrooms split from primary that offer fantastic versatility, each with a ceiling fan, oversized closet & a full dual vanity bath adjoining Bedrooms 2 & 3. The captivating outside beckons you to unwind in your resort-style desert oasis. Lounge & soak up the sun by the sparkling, 25-foot length saltwater pool while listening to the water fall gently from the water feature or your favorite tunes playing, on the indoor & outdoor wired surround sound system, while you admire the custom painted mural & views of South Mountain. The finished block wall surrounding backyard add both privacy & beauty as you embrace your oasis. Relax, cook out on a natural gas BBQ grill, dine, or entertain under the covered patio & extended pergola cooled by a misting system & ceiling fan. Day or night enjoyment with recess & accent lighting. Watch your favorite game or show on the outdoor TV while savoring the spectacular sunsets. Easily maintain the appointed landscaping with the front & back timed irrigation system and timer controlled front & back landscape lighting. The well-appointed oasis has allowed for 5 aluminum gutters & drains on various roof areas, isolated pool equipment, quarter-minus walkway from driveway to backyard west gate, ample storage space in the generous size Lifetime storage shed on the west & an RV gate on the east side of the backyard. Dusk-dawn lighting is featured at the front door & the 4+ tandem car garage with insulated doors, natural lighting glass, self-closing security door to the interior, 2 ceiling fans & several fluorescent lights creating the perfect space for larger vehicles and/or a workshop. Welcome to a desert paradise offering luxury & convenience without compromising on privacy or exclusivity. Yet, only minutes away from freeways, schools, play areas, golf, dining, shopping, and entertainment.

3106 N 70th Street Unit 2007 Scottsdale, AZ 85251

$827,000
2 Beds
2.5 Baths
1,826 SqFt
Status Active
MLS # 6754424
Property Type Townhouse
Price Type --
Looking for turnkey? Redecorated and furnished with upscale furnishings of over $30,000. No? Purchase for $,7,000 less. $17,000 in upgrades this year include wood flooring, garage cabinets, patio improvements, and new smart locks and cameras. Great Scottsdale location, near Old Town Scottsdale, Honor Health Care, Thursday Art Walks, the Scottsdale Wine Trail, shops, restaurants, Trader Joe's, and much more. Energy Star construction, quartz countertops, Bosch appliances, magnificent large closets, 2 suites, End Unit.

20490 E Via De Colina Place Queen Creek, AZ 85142

$825,846
5 Beds
3 Baths
3,077 SqFt
Status Active
MLS # 6746358
Property Type Single Family Residence
Price Type --
MLS#6746358 April Completion! Discover the Breckenridge model at Ellsworth Ranch - Voyage, a stunning single-story home with 5 bedrooms, 3 baths, and a 3-car garage. The heart of the home is the open gathering room, seamlessly connected to the casual dining area and the kitchen, which features a central island and a walk-in pantry. A formal dining area near the foyer adds a touch of sophistication. The private owner's suite, located at the rear, serves as a tranquil escape with its luxurious tub, separate shower, dual vanities, and expansive walk-in closet. Two guest bedrooms and a bath at the front provide the perfect space for visitors. Structural options include: gourmet kitchen, bedroom 5 in lieu of study, shower in lieu of bath at bath 3, study in lieu of dining, and gas line for future outdoor kitchen.

394 E Bittercress Avenue Queen Creek, AZ 85140

$825,176
2 Beds
2.5 Baths
2,180 SqFt
Status Active
MLS # 6723123
Property Type Single Family Residence
Price Type --
Experience refined living in this Genova model home in Encanterra. This 2,180 sq. ft. residence offers 2 bedrooms, 2.5 baths, & a versatile den. The gourmet kitchen boasts JennAir appliances, quartz countertops, a large single bowl sink, & elegant upgraded cabinetry. The open floor plan connects the spacious great room & dining area, perfect for entertaining. Retreat to the primary suite with a luxurious bathroom featuring a heavy glass shower enclosure & quartz countertops. Enjoy the Arizona weather on the covered patio with a built-in gas fireplace & extended pavers. Additional highlights include luxury vinyl plank flooring throughout & a golf cart garage. Discover the best in Encanterra living—schedule your visit today!

4263 W Bonnie Lane Queen Creek, AZ 85144

$825,000
5 Beds
4 Baths
3,043 SqFt
Status Active
MLS # 6748686
Property Type Single Family Residence
Price Type --
BRAND NEW Construction w/ Custom-Quality Upgrades! This beautiful Modern Farmhouse is located on a 1.25 ACRE of Horse Property. Gourmet Kitchen w/ WOLF Appliances, high-end Cabinets w/ 42'' uppers, White Quartz Countertops, Built-in Stainless-Steel Drawer Microwave & Wood Plank Tile Floors. Stunning Master Bathroom w/ Freestanding Soaking Tub, BEACH ENTRY Shower & Double Vanities. Exceptional Energy Efficient - boasting Spray Foam Insulation, Premium Trane AC units & High-end Windows. Superior Construction & Craftmanship includes Premium Roofing System, Premium Synthetic Stucco & much more! Estimated completion date in Jan/Feb.

9 County Road N1029 -- Greer, AZ 85927

$825,000
1 Bed
1 Bath
1,250 SqFt
Status Active
MLS # 6699331
Property Type Single Family Residence
Price Type --
This is a hidden gem, adorable Log cabin, nestled in the woods. 1 Bedroom & 1 Bathroom & Loft with additional beds. Front covered deck over looks ponds. This is a true get away cabin in the woods. Large Great & Dining Room area. Free Standing Wood Fireplace. Kitchen & Cabinets space, has all the necessary amenities with Electric Stove, Microwave & Refrigerator. All rooms have large window to view all the outdoors & wildlife in the area. Very bright & Airy inside cabin with exposed beam in ceiling. Special engineered logs with insulated interior of log. Wrap around deck. Basement has workshop, laundry Washer & Dryer & Storage area. Plenty of room on 4 acres to have horses and build an additional cabin. Secluded but close to Greer Village, Lakes, Hiking, Fishing & Sunrise Ski Resort.

9516 E Hansen Way Gold Canyon, AZ 85118

$825,000
4 Beds
3 Baths
2,738 SqFt
Status Active
MLS # 6646298
Property Type Single Family Residence
Price Type --
JUST COMPLETED New Construction contemporary desert home on 1.25 ACRES with direct backyard views of the Superstition Mountains! This new build with NO HOA includes a gorgeous custom iron front door, a MASSIVE open Kitchen & living room with high-end Cabinets, White Quartz Countertops, 36'' Cooktop, Built-in Stainless Steel Microwave and double ovens, & upgraded flooring. The upgrades continue with a stunning Master Bathroom with a Freestanding Soaking Tub, Modern Shower and Beautiful Double Vanities, an oversized four car garage, exceptional energy efficiency with spray foam insulated walls & ceilings, upgrading A/C system, Premium Stucco, & last but not least an upgraded full 12' patio to watch the sunset on the Superstition Mountains from.

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