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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1693 E Maryland Avenue Phoenix, AZ 85016

$825,000
2 Beds
2.5 Baths
1,793 SqFt
Status Active
MLS # 6754336
Property Type Townhouse
Price Type --
Own a piece of Phoenix history with this stunning Mid-Century Modern townhome designed by the renowned architect, Al Beadle. Its inclusion on the National Registry of Historic Places not only offers significant tax savings but also stands as a testament to its historical importance. This tastefully updated, well-maintained townhome seamlessly blends timeless minimalist design with contemporary amenities. Its peaceful dead-end street location in the heart of the Biltmore area is walking distance to the bustling 16th corridor with its dozens of restaurants while also offering a short, easy drive to Sky Harbor Airport and downtown Phoenix. The modern kitchen boasts stainless steel appliances, gas stove, a wine fridge, quartz countertops, sleek cabinetry and bar seating for casual dining. The 2 master suites upstairs each have thoughtfully updated modern and elegant bathrooms with dual sinks and showers. Floor-to-ceiling windows flood the home with natural light, creating a bright and inviting atmosphere while offering unobstructed views of the outdoor oasis, designed for both relaxation and entertainment. Enjoy year-round use of the plunge pool, thanks to its new heater. The spacious garage accommodates two cars and features an epoxy floor and built-in storage cabinets, providing both functionality and style.

25216 N 42nd Avenue Phoenix, AZ 85083

$825,000
3 Beds
3 Baths
2,488 SqFt
Status Active
MLS # 6763271
Property Type Single Family Residence
Price Type --
Welcome to this perfect single-story ranch-style retreat r! Lots of Upgrades - The list attached under Docs includes a NEW Pool, a New tankless water heater, and shutters throughout the house. Additionally, this well-designed home features 3 bedrooms plus a den and 3 baths, offering a great blend of modern living and timeless comfort. The spacious living area seamlessly connects with the kitchen areas—formal dining and Formal living room with great pool view. The updated kitchen boasts Stainless Steel appliances, granite countertops, and ample cabinet space. The large master suite provides a private sanctuary. Outside, your backyard oasis includes an extended patio to enjoy Arizona sunsets. This charming home is conveniently located near schools, parks, and shopping.

1962 E Drake Drive Tempe, AZ 85283

$825,000
4 Beds
3 Baths
3,027 SqFt
Status Active
MLS # 6758388
Property Type Single Family Residence
Price Type --
**🏡 ATTENTION Tempe Enthusiasts - Your Dream Home is Almost Here! 🏡** Nestled in the stunning *Oasis Lake Community*, this is the Fulton Homes floor plan you've been dreaming of! In the heart of the top-ranking *Kyrene School District*, this home is perfect for families who want the best in both style and location. Let's start with the crown jewel—a **Downstairs Master Suite** that's fit for royalty. Seriously, the bathroom is remodeled for Princess Kate herself, and the closet? It's grande enough to fit your entire Louboutin collection, honey! 👠✨ But don't worry, the kids won't mess up your space—they've got their very own party loft upstairs, just outside the 3 additional bedrooms and bath. You can keep an eye on the fun from your *designer kitchen a large breakfast island, pearly white 42-inch cabinets, stainless steel appliances, and gorgeous granite countertops. I mean, at this price, what else would you expect?! Now, let's talk about the real star of the showthe **resort-style backyard**. Recently redesigned with sleek travertine tile, mature trees, beautiful vines, a built-in BBQ, and stunning overhead lighting, it's your personal paradise. And we haven't forgotten about your furry friendsthey've got their own private gated side yard complete with a pet entrance. Because even your pets deserve a little luxury! This home is truly one-of-a-kind and offers everything your family could want, all with that signature Fulton Homes layout you know and love. But here's the thinghomes like this don't stay on the market long. It's hitting the market very soon, and public tours will begin shortly. If you're a serious buyer, have your agent reach out *ASAP* to see if we have any private pre-launch tours available. And just so you know, I hope something wonderful happens to you today! < **Get readythis dream home won't last long!**

5933 W Grovers Avenue Glendale, AZ 85308

$825,000
4 Beds
2 Baths
2,067 SqFt
Status Active
MLS # 6732201
Property Type Single Family Residence
Price Type --
This incredible 4-bedroom, 2-bathroom single story home is perfectly situated on almost an acre! Located in a prime central location, you'll be just minutes from freeways, top-rated schools, shopping & restaurants. Step through the courtyard entrance to a gorgeous iron door that leads to an interior featuring vaulted ceilings, skylights & custom paint. The bright, open floor plan includes formal living & dining areas as well as a spacious family room, ideal for both relaxing & entertaining. The stunning granite kitchen is equipped with stainless steel appliances, stylish custom cabinetry, a breakfast bar & a bay window dining nook. The owner's suite is a private retreat with an updated ensuite bathroom & sliding glass doors leading to the backyard. Outside, you'll find a sparkling pool, large covered patio, gazebo, turf, putting green, exterior lighting, a shed & large concrete slab. There's so much open space in the backyard, offering plenty of room to add whatever you desire on this enormous lot. Don't miss your chance to own this extraordinary home!

185 Ross Road Sedona, AZ 86336

$825,000
3 Beds
2 Baths
1,720 SqFt
Status Active
MLS # 6711127
Property Type Single Family Residence
Price Type --
West Sedona location, privacy, Red Rock views, and excellent condition? Look no further! This adorable home has three Trex type decks to take in views of Thunder Mountain & Coffee Pot Rock. Immaculate turn key condition, 3 bedrooms plus an office nook with charming bay window, fenced backyard for Fido, with beds for gardening, and two garages make this home a very affordable option. Level entry from garage, 220V in garage. The HVAC Furnace and Air Conditioner is new as of March 2022, water heater is new as of March 2022, new garage doors and tracks. New induction stovetop and new stainless steel refrigerator, plus four new ceiling fans/light fixtures. Nest thermostat, new ''Dusk to Dawn'' front door lights. Hiking Trail access via neighborhood social trail only 3/4 mile away. All new re-insulation of the attic, plus sealing of old evaporative cooler vents, new weatherization of front door and new weatherization of garage entry door, with CozyHome doing a home energy audit before completing the work. Asphalt Shingle roof is barely halfway through it's lifetime at only 12 years old. Property has TWO garages-both are oversized single car garages. One could be for parking, and one could be for workshop, hobby area, or artist studio-have fun deciding! Ample parking with paved driveway plus a pull through gravel driveway...great for RV parking! It's rare to see a Sedona home this well taken care of with clear pride of ownership. West Sedona location means you have City amenities, with an abundance of hiking trails and natural beauty to choose from on a daily basis. Come see what peaceful Sedona living is all about, and schedule a showing today!

1339 E Via Sicilia -- San Tan Valley, AZ 85140

$825,000
4 Beds
3.5 Baths
3,418 SqFt
Status Active
MLS # 6750853
Property Type Single Family Residence
Price Type --
Stunning home with tons of on-trend features located in the gated Balcara community. As you approach, the meticulously maintained front landscaping and stacked stone exterior provide excellent curb appeal. The gourmet eat-in kitchen incorporates soft-close cabinets, granite counters, island with breakfast bar, gas cooktop with hood, stainless appliances, double oven, and coffee bar. Other features include hardwood flooring, formal dining room, family room with backyard slider, private courtyard side patio, dual AC units, gas water heater, new water softener, and 2 garages with 4 total car spaces! The luxurious master suite has a huge walk-in closet and an en-suite bathroom with dual vanities, large soaker tub, walk-in shower, and a private toilet room. The expansive backyard has a large screened-in patio with ceiling fans, faux grass lawn, firepit paver seating area, and tons of extra space!

5222 E Cordia Lane Cave Creek, AZ 85331

$825,000
3 Beds
2.5 Baths
2,236 SqFt
Status Active
MLS # 6746954
Property Type Single Family Residence
Price Type --
So much hidden value has been added to this 3BR + Den home in the sought-after, gated Diamond Tree Estates! Set on a spacious 1/4-acre lot, functionality and relaxed living meet. Enjoy the benefits of a new AC system and hot water heater (2023), along with fresh carpet and paint (2024). The split floor plan maximizes privacy and features an open kitchen with granite counters, stainless steel appliances, and a double oven plus extra tall 42'' cabinetry. The inviting yard features a large & relaxing pool, expansive paver patio, surround sound, and a putting green. Recent upgrades include plantation shutters (2023), modern mister system and vibrant smart stringed sights. An RV gate adds extra convenience and functionality to the oversized lot which has a newer drip system. Grand main suite has a sitting area, a pristine full ensuite with dual sinks, and a separate tub/shower. The entertainer's backyard invites you to relax and have fun! It offers a covered patio, Travertine tile flooring, a putting green for golf enthusiasts, and a refreshing pool. Hurry! Your paradise awaits!

15931 W Myrtle Avenue Litchfield Park, AZ 85340

$825,000
3 Beds
2 Baths
1,860 SqFt
Status Active
MLS # 6681308
Property Type Single Family Residence
Price Type --
Step into this beautiful 3-bedroom, 2-bathroom home in Litchfield Park. All hard wood floors, freshly painted and move in ready. Huge Extra room that can be used for a den, workspace, or family room. This 2 acre property is fully fenced, horse property with irrigation, and No HOA. Bring your animals and toys. Extra storage space in the large shed at the back of the house. Come view your next home.

2353 Florian Meadow Trail Overgaard, AZ 85933

$825,000
3 Beds
3 Baths
2,898 SqFt
Status Active
MLS # 6663325
Property Type Single Family Residence
Price Type --
A custom 3 BR/3BA, 2898 SqFt cabin in a very pristine area of Overgaard. This home is nestled on a full acre that is heavily treed with mature Ponderosa Pines. The interior features a great room design with 30' knotty pine ceilings, a wall of windows, a duel fuel stone faced fireplace, a large kitchen with butcherblock countertop, an island with Silestone counter, wood, tile laminate and carpet flooring. The wood flooring is from the Chediski fire. It also boasts, a wet bar, a 24x24 Arizona room with a freestanding wood burning stove,. a loft with four permanent bunkbeds, an upstairs bedroom with bathroom. The master bedroom is downstairs with an en-suite bathroom with jacuzzi tub. There is also a game game room w/fireplace. The exterior boasts a patio with a fireplace and circular drive. This pristine homesite would make a wonderful horse property. Plenty of room for a barn with stalls and a round pen.

7640 E Golden Eagle Circle Gold Canyon, AZ 85118

$825,000
3 Beds
3 Baths
2,382 SqFt
Status Active
MLS # 6644783
Property Type Single Family Residence
Price Type --
2ND PRICE REDUCTION! MOTIVATED SELLER! Superstition Mountain villa with MOUNTAIN VIEWS!. OFFERED FURNISHED! Very PRIVATE lot with views of the 9th hole of the Prospector Golf Course. WALKING DISTANCE TO THE CLUBHOUSE! Three bedrooms, one being a separate guest Casita, and 3 baths. OPEN KITCHEN, DINING, GREAT ROOM LAYOUT. Granite counter tops in the kitchen, wood beams in the great room, wood shutters and pleated shades throughout the home. Carpet in the bedrooms have been replace with wood floors. EXTENDED PATIO WITH FIRE PIT AND PLENTY OF ROOM FOR OUT DOOR SEATING. TWO JACK NICKLAUS GOLF COURSES! Not a golfer? Enjoy pickle ball, tennis, bocce, hiking and many other activities. You will love it here! Cub amenities under a separate agreement. 24 HOUR GUARD GATED COMMUNITY!. 35 minutes to Sky Harbor and 20 minutes to Mesa Gateway airports. Buyer and buyer's agent to verify all pertinent information including square footage.

36601 N Mule Train Road Carefree, AZ 85377

$825,000
2 Beds
3 Baths
1,970 SqFt
Status Active
MLS # 6692497
Property Type Townhouse
Price Type --
MUST SEE THIS TOTALLY REMODELED AND FULL FURNISHED CONDO!! This absolutely stunning 2nd floor condo offers an open concept floor plan that is fully furnished with brand new furniture, appliances, flooring, remodeled kitchen and baths. It features two patios, a deck with a beautiful view, and a shared one-car garage. The unit boasts LED lighting, new roller shades, and fresh interior and exterior paint. Enjoy a beautiful community pool and proximity to hiking trails. A perfect blend of modern upgrades and leisurely comforts in a sought-after location. You won't be disappointed!

7181 E Camelback Road Unit 201 Scottsdale, AZ 85251

$825,000
1 Bed
2 Baths
1,147 SqFt
Status Active
MLS # 6731911
Property Type Apartment
Price Type --
Welcome to the epitome of sophistication and convenience in Old Town Scottsdale! Nestled in the heart of one of Arizona's most vibrant communities, this exquisite one-bedroom, two-bathroom condo offers an unparalleled lifestyle blending modern elegance with the energy of Scottsdale's entertainment district. This residence is a true lock-and-leave that allows for low-maintenance living in one of the most exclusive high-rise communities in Scottsdale. The smart floor plan (see docs) includes a den with an adjacent full bathroom that can be used as a home office, game room, or an extra space to host guests. This space has been meticulously maintained and is outfitted with luxury finishes and Viking appliances, including a new refrigerator, dishwasher, and microwave installed in July 2024. This unit includes a spacious walk-in closet, two parking spaces in the underground garage, and a storage unit. At the Waterfront, step into a world of luxury where every detail has been carefully curated for the most discerning tastes. Lifestyle amenities include a rooftop pool and spa with stunning, 360-degree views, a fully equipped gym, luxury his- and hers-locker rooms including steam room and massage rooms, 24/7 doorman and concierge, valet parking, and luxurious private event spaces. This private sanctuary is within walking distance of Scottsdale's renowned dining, entertainment, and cultural hotspots. Discover the allure of Old Town Scottsdale living - where luxury meets lifestyle, and every day is an opportunity to embrace the essence of cosmopolitan living in the desert. Your oasis in the heart of it all awaits!

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