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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18067 E Vista Desierto -- Rio Verde, AZ 85263

$799,000
2 Beds
2 Baths
1,948 SqFt
Status Active
MLS # 6664147
Property Type Single Family Residence
Price Type --
Why build when you can move right in and begin enjoying the resort lifestyle at the amenity-rich Trilogy at Verde River! This home is completely furnished, lightly lived in, and meticulously maintained. Shows like a model with tons of beautiful upgrades throughout including neutral tile, designer accent walls, designer lighting and a gourmet kitchen package just to name a few. 2 Bedrooms, 2 Bathrooms plus a versatile Den space and a separate Golf Cart Garage that is great for the toys, extra storage, work shop, etc. The backyard has a built in barbeque, beautiful mature landscaping, expanded patio space and privacy letting you enjoy the magnificent AZ evenings in a tranquil setting. Trilogy at Verde River is a Resort Style community featuring something for everyone! Tom Lehman designed golf course, tennis, pickle ball, bocce ball, heated lap pool and swimming pool, hot tub, fitness center, demonstration kitchen and a 7.5 acre dog park. The community center has casual and fine dining, luxury spa and an events center. Trilogy at Verde River is adjacent to the Tonto National Forest and is situated in the middle of miles and miles of hiking and biking trails yet close to the conveniences of affluent North Scottsdale. Live like you're on vacation!!

2726 N Hannon Ranch Lane Bisbee, AZ 85603

$799,000
5 Beds
4.5 Baths
3,554 SqFt
Status Active
MLS # 6665334
Property Type Single Family Residence
Price Type --
Perched on an elevated, 4.4 acre lot in the Mule Mountains, just minutes from Bisbee, this stunning, custom 5 bed/ 4.5 Bath, 3,554 sq ft. home offers quality craftsmanship & magnificent panoramic mountain views. Beautifully remodeled with new: Anderson windows, roof, deck, doors, flooring throughout, stucco, kitchen, appliances, master bath w/ dual shower, mini-splits, & paint inside & out. Landscaped yard w/ stone patio overlooking the canyon, sunrises, sunsets and stargazing. Step inside to discover an inviting & spacious interior filled w/ an abundance of natural light & majestic mountain views from nearly every window. Open floor plan, expansive and flowing between the kitchen and the great room, 2 en-suite main bdrms, a bonus room, & built out basement all make for wonderful living.

7117 N Sarival Avenue Litchfield Park, AZ 85340

$799,000
4 Beds
3 Baths
2,975 SqFt
Status Active
MLS # 6681317
Property Type Single Family Residence
Price Type --
Welcome home! Discover this enchanting 4-bedroom home nestled on a sprawling 1-acre lot in peaceful Litchfield Park. Only 1/2 a mile from Dunn's Arena this is a beautiful Horse property with irrigation. The back yard is complete with 40 x 60 pole barn, Tack Shed, and a Horse wash. A great place for a home based business, with ample covered truck, trailer or RV/Boat parking. Downstairs is a finished basement, where exposed wood beams add character and ample space. With a Brand new roof and LVP flooring installed this year this an amazing opportunity. Don't miss out! Outside, the massive backyard is a dream, complete with a chicken coop, storage sheds, and a carport, offering endless possibilities for personal touches. This property is a true serene haven, ready to be your home sweet home. Don't miss the chance to make it yours!

4380 N Preserve Drive Pine, AZ 85544

$799,000
3 Beds
3 Baths
1,485 SqFt
Status Active
MLS # 6681925
Property Type Single Family Residence
Price Type --
Home with lot next door! Seller is offering 1% of sales price to be used at COE to ''buy down'' the buyers loan interest rate with full price offer. Fully remodeled modern A-frame on a quiet, half acre corner lot in the highly sought after Portal IV community. The spacious wrap-around deck boasts panoramic mountain views, and endless opportunities for al fresco dining and hot tub soaks underneath the twinkling night's sky. The gated community offers seclusion and peace of mind. The sellers purchased the parcel next door and are offering it as part of the sale to protect your views as you desire! Smart appliances and features are noted throughout the home. Sellers are offering the home fully furnished with high-end furniture. Taxidermy does NOT convey.

14724 E Dale Lane Scottsdale, AZ 85262

$799,000
4 Beds
3 Baths
2,444 SqFt
Status Active
MLS # 6684946
Property Type Single Family Residence
Price Type --
*Seller is offering 10K for buyer to put towards rate buy down or closing cost.* Discover your desert sanctuary, a sprawling 1-acre property crafted for the equestrian lifestyle. Revel in direct access to beloved trails like Granite Mountain, Fraesfield, and Pinnacle Peak, with a gated entry for seamless ''ride in/ride out'' access. Nearby, Western enthusiasts find solace in institutions like Cowboy University and Kimes Ranch, while English riders enjoy Arabian show barns and performance horse facilities. As the sun sets, retreat to your single level home featuring vaulted ceilings, upgraded ceramic tile flooring, and a soothing color palette. Cozy up by the gas fireplace in the inviting great room, relishing shared memories and the promise of countless adventures. Plus, the convenience of a 4 car garage with ample room for all your toys ensuring that every adventure is well equipped. With pull around access for horse trailers, maneuvering becomes effortless, no backing up required. Custom gates add both security and style to your oasis, while ensuring that your equine companions are safe and secure. And with the added luxury of a shared well, water worries for you and your animals fade away. Live the equestrian dream, where every ride is an adventure, every day is a celebration of the bond between horse and rider, and every moment is embraced in the comfort of your cherished home.

28109 N Varnum Road San Tan Valley, AZ 85143

$799,000
4 Beds
3 Baths
3,150 SqFt
Status Active
MLS # 6685916
Property Type Single Family Residence
Price Type --
Beautiful Mountain View Home! Newly Renovated with and not limited to new flooring, new paint, new block fencing and much more! Spacious Home with a Huge Drive thru (75x44), detached Garage(3300sqft) with 17ft ceiling, can be used as workshop or storage needs on 1.25 Acre Lot. Detached garage has 2 16x14 doors & 116x8 door & is pre-plumbed for a bathroom. House(3150sqft) is 4 Bedrooms, 3 Baths. Huge Great Room plus a family entertainment room with built-ins. Kitchen has plenty of cabinets. Master bedroom is large with double sinks and walk in closet. Guest Bedroom with bathroom and walk in closet. Two other bedrooms, both with walk in closets. Home comes complete with central vac & water softener. Huge backyard to fulfill various ranch lifestyles essentials.

1510 E Red Range Way Phoenix, AZ 85085

$799,000
5 Beds
3.5 Baths
3,185 SqFt
Status Active
MLS # 6686319
Property Type Single Family Residence
Price Type --
Arizona living at its finest! NEW and has never been lived in, this fabulous 5 bed, 3.5 bath residence is now on the market! Resting up against the Sonoran Preserve with no neighbors and NO HOA with these gorgeous Arizona Mountain View's can now be yours. A beautiful facade, 3 car garage, and tons of landscaping potential! Plenty of room to bring your horses and/or livestock. Discover a large open floor plan w/elegant wood-look flooring, recessed lighting, and neutral palette throughout. The kitchen is equipped w/everything the aspiring chef needs, ample cabinetry, a pantry, quartz counters, stainless steel appliances, and an island complete w/a breakfast bar. Dual masters complete two primary suites, one downstairs and one on the upper level! Each one features soft carpeting, a walk-in closet, and a private baths w/dual sinks and amazing views. Laundry upstairs AND downstairs. You'll also find a spacious loft where you can spend a relaxing Sunday evening, as well as a den perfect for an office. Enjoy breathtaking mountain views everywhere you look! Very unique property with over 2 acres this is truly a must see! What are you waiting for? Act now!

1102 E Brown Street Phoenix, AZ 85020

$799,000
3 Beds
2 Baths
2,041 SqFt
Status Active
MLS # 6701092
Property Type Single Family Residence
Price Type --
Prepare to be blown away by this rare opportunity! Whether you are a house hacker, investor, or multi generational household THIS is the property for you. Centrally located in Phoenix, sitting on over 1/2 an acre surrounded by mountain views, you have 3 separate units boasting a total of over 2,561sf of livable space. All units are on their own electric meters complete with full kitchens, full bathrooms and laundry, a gorgeous new pool and spa, a temperature controlled 1 car garage workshop/she-shed, 4 car garage/large shop, multiple RV gates and ample covered and uncovered parking. First, you'll be impressed with the fully updated 1,184sf main house that is both modern and functional. It offers 2 bedrooms plus a bonus room in the master, and 2 full bathrooms. It features an open floor plan with a gorgeous recently remodeled kitchen boasting rustic alder cabinets, granite countertops, a decorative backsplash, floating shelves, large island, and stainless steel appliances. The master suite contains a bonus room that can be used as a large walk-in closet, nursery and/or office. The master bath is newly renovated with a private walk in tiled shower, double sinks, and granite counters. The home also has new neutral paint, new LVP flooring throughout, new fixtures, new metal roof, newer HVAC/ductwork, new PEX plumbing, tankless water heater, 13 blown in insulation and new electrical. The backyard is your own private oasis with a new large sparkling pool featuring beautiful stacked stone water features, a large retractable pool shade, and easy cleaning with pentair pump and filtration. Indulge in the luxury of a 5-person Catalina spa and entertain guests in the sizable gazebo equipped with a built-in BBQ and professional-grade mister system. Both front and backyards are hassle-free with artificial turf and auto timers, complemented by the benefit of low electric bills courtesy of owned solar panels. Solar is only $89 monthly. The spacious 857-square-foot guest house, thoughtfully updated, features oak cabinets, stainless steel appliances, granite countertops throughout-including the bathroom, and LVP flooring. Complete with a full kitchen, bathroom, and laundry hook-ups, plus a new electric water heater, this space brims with versatility. Here, 36 doors and shower bars offer additional accessibility. Ideal as a mother-in-law suite or a charming primary residence with the option to rent out the main house for a larger income opportunity. Enjoy a semi-private outdoor area perfect for outdoor lounging and dining. The 522-square-foot man-cave/studio exudes industrial charm, featuring a full kitchen with oak cabinets and granite counters, sleek epoxy floors, a comfortable living area, and a full bathroom with a tiled shower and laundry hook-up. This versatile space is ideal as a mother-in-law suite or a dynamic game/entertainment area with the garage door fully opening to seamlessly blend indoor and outdoor spaces. Enjoy the convenience of a brand new mini split heating and cooling system and new electric water heater. The she-shed encompasses 216sf of partially finished garage space, equipped with a window AC unit, a service door, and complete with water, sewer, and electric. Adjacent is an additional 4-car garage, independently metered from the other units for electric, presenting limitless possibilities. Remove the central wall to transform it into another 667 sf studio space, or maintain its current configuration for storage/garage units, potentially generating extra income. Alternatively, utilize the space for storing vehicles and equipment, or as a workshop. Featuring upgraded electrical systems, a new metal roof with spray foam insulation, and the readiness for additional water and sewer connections to the garage, this space is primed for diverse uses. Investors have ample opportunity to innovate on this property, as the sellers have initiated the re-zoning process for potential multi-family use. Should the buyer opt to pursue this avenue, the property holds promise for assisted living, sober living, rehabilitation, and other group home ventures. With existing water, sewer, and electric connections in place, converting garage bays and the she-shed into additional rooms or apartments is a seamless endeavor. The desirable central location of this property is conveniently located just minutes from the 51, 17 and 101 highways allowing you to be nearly anywhere quickly. Within 15 minutes you've got shopping and dining at Biltmore Fashion Park and Uptown Plaza, hiking at North Mountain, and Sky Harbor Airport when you're heading out for travel.

44621 N 10th Street New River, AZ 85087

$799,000
4 Beds
3 Baths
2,521 SqFt
Status Active
MLS # 6703043
Property Type Single Family Residence
Price Type --
A spectacular custom home with privacy, luxury details, no HOA, shade trees and gorgeous views. Open and spacious floorplan with walls of glass, soaring ceilings, gourmet kitchen with granite and stainless appliances. The primary bedroom has a seating area, master bath with jetted tub and large walk-in closet. There is also an ensuite guest bedroom with separate entrance. Two other bedrooms are well appointed with a large guest bathroom. The home is perfect for entertaining, loads of patio space with pavers and lush landscaping, and several mature citrus trees. There is a rooftop deck for enjoying the amazing sunsets. The property is walled for privacy, with plenty of space. Close to the Tonto Nat'l Forest. This is a one-of-a-kind home that has been impeccably maintained.

5682 W Orchid Lane Chandler, AZ 85226

$799,000
5 Beds
2.5 Baths
3,160 SqFt
Status Active Under Contract
MLS # 6703263
Property Type Single Family Residence
Price Type --
Brand New TRANE AC upstairs! Beautiful family home MASTER SUITE is DOWNSTAIRS, huge master bath with 2 walk-in closets. Plantation Shutters throughout. Wet bar in dining room with wine fridge! Beautiful update kitchen open to family room with gas fire place. Wood engineered floors! Upstairs 4 bedrooms, one is large enough to be a fabulous game room! Great backyard with diving pool & patio.

2777 W Queen Creek Road Unit 14 Chandler, AZ 85248

$799,000
3 Beds
2.5 Baths
2,100 SqFt
Status Active
MLS # 6703268
Property Type Single Family Residence
Price Type --
Welcome to your dream home in the heart of luxury living! Nestled within a gated community, this stunning residence offers the epitome of convenience and comfort. As you enter, you're greeted by top-of-the-line porcelain grey tile flooring that extends throughout the home. The open floor plan creates an inviting atmosphere, perfect for entertaining guests. The spacious kitchen is a chef's delight, featuring a quartz island and countertops, soft-closed kitchen cabinets, and an eat-in area with breathtaking views of the tranquil lake. After a long day, retreat to large master-suite, master bath adorned with marble tile flooring, walk-in shower. Other bedrooms, large walk-in closets for ample storage and electric privacy shades for added comfort. Outside, the amenities continue to impress. Take a leisurely stroll around the neighborhood, enjoying the manicured landscaping and friendly atmosphere. For those who enjoy fishing, a little patio-side angling awaits right outside your back porch. And if you're in the mood for adventure, launch your boat or paddleboard for a serene evening on the water. When it comes to dining and errands, you're spoiled for choice. Within walking distance or a short drive, you'll find an array of restaurants offering delectable cuisine. Need to run errands? Everything you need is conveniently located nearby, from grocery stores to boutiques, making everyday tasks a breeze. With its unbeatable location, luxurious amenities, and modern design, this home truly is a stunner. Don't miss your chance to experience upscale living in this practically brand-new build. Welcome home!

14809 S 25th Way Phoenix, AZ 85048

$799,000
4 Beds
3 Baths
3,235 SqFt
Status Active
MLS # 6705961
Property Type Single Family Residence
Price Type --
SIMPLY GORGEOUS spacious 3,235 sq.ft. 4 Bed/3 Bath home (1 Bedroom & Bath downstairs) with HUGE Office/Gym/Bonus Room (also downstairs) with luxury backyard Pool Oasis! Stunning marble-style Italian porcelain Tile & Wood floors. Entertainer's Living & Dining Rooms with large windows bringing in natural light when you open the Shutters! Extensive Kitchen granite Counters & Breakfast Bar Island give plenty of room for the gourmet cook! 2-Way wood-burning Fireplace between Breakfast Room & Family Room. Large Laundry Room with sink, counters, cabinets, Washer & Dryer stay! Movie Star sized Primary Suite Closet with center Island! Primary Bath boasts rich cabinets, granite counters PLUS 2nd Walk-in Closet. TONS OF STORAGE! NEW ROOF (2019). Both AC units replaced (2017 & 2024). Newer windows, updated lighting fans & fixtures. Classy roller shades & Plantation Shutters. Refinished Expresso Kitchen cabs, stainless hardware, BRAND NEW Range & GE Fridge. Garage Solar-Lite tubes. Resort-style Backyard has spacious wrap-around Pool w/mosaic tile surface showcasing dolphin & octopus art, high-end Pool Gate. Synth Grass in front & back! Tomato & Herb Garden, Tangelo, Mandarin, Pomegranate & Orange Trees. All MOUNTAIN PARK RANCH amenities. Neighborhood access to mountain hiking trails. Kyrene Schools nearby. Close to freeway access, shops, dining, airport, downtown!

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