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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3918 E Wildhorse Drive Gilbert, AZ 85297

$625,000
4 Beds
2 Baths
2,019 SqFt
Status Active
MLS # 6784693
Property Type Single Family Residence
Price Type --
Ideally located on a nice-sized, interior homesite in the highly desirable San Tan Ranch community, this wonderful, well-maintained Gilbert home offers 4 bedrooms; 3 car garage; spacious dining/living areas; vaulted ceilings; open floor plan; beautiful cabinetry; main suite with separate tub/shower, dual sinks, walk-in closet, and exit to covered patio; and resort-style rear yard perfect for relaxing/entertaining with an amazing pool, rock waterfall, and stacked stone built-in BBQ! Approximately $50K in recent updates/upgrades (travertine patio/pool deck, outdoor cooking area, kitchen appliances, wood look flooring, 5 Ton 14 SEER HVAC system, tankless water heater, etc.). Convenient freeway access and close to shopping, dining, sport courts, parks, playgrounds, and more. Move-in ready!

5055 S Clancy -- Mesa, AZ 85212

$625,000
4 Beds
2 Baths
2,142 SqFt
Status Active Under Contract
MLS # 6766078
Property Type Single Family Residence
Price Type --
Gorgeous 4-bedroom, 2-bathroom home with a 3-car garage located in the highly sought-after Keighley Place subdivision of Mesa. Move-in ready and filled with upgrades, this home welcomes you with an oversized living room and formal dining space. The remodeled kitchen boasts granite countertops, refinished cabinets, a stainless steel sink and appliances, new fixtures, and a custom pantry door. The open-concept family room features a charming wood accent wall and offers easy access to the resort-style backyard, complete with a travertine patio, heated pool, lush landscaping, a built-in gas firepit, and a BBQ island, perfect for outdoor entertaining. The primary suite is a retreat of its own, featuring hardwood floors, an oversized walk-in shower, granite countertops, vessel bowl sinks, and updated fixtures. Additional highlights include updated flooring throughout, fresh exterior paint, garage cabinets with a workbench and storage, an RV gate, and low-cost fixed solar. Don't miss out on this incredible opportunity....request a private tour today!

6502 N Central Avenue Phoenix, AZ 85012

$625,000
2 Beds
2 Baths
1,880 SqFt
Status Active Under Contract
MLS # 6757231
Property Type Apartment
Price Type --
This beautiful mid-century penthouse, designed by renowned architect Starkovich, seamlessly blends historic charm with modern living. Situated along the iconic, tree-lined Central Ave in one of Phoenix's most sought-after neighborhoods, this original 2-bedroom, 2-bathroom home boasts breathtaking north-facing views of Piestewa Peak and stunning sunsets, framed by an impressive wall of windows. Just steps away, the scenic Murphy Bridal Trail offers a perfect escape for hiking enthusiasts and nature lovers. Bathed in natural light, the bright and airy interior creates an inviting atmosphere. The spacious great room is perfect for hosting gatherings or simply enjoying a peaceful morning coffee as the sunrise fills the space with warmth and light. HOA replaced roofs 2023, A/C & Heat piping 2024 they will also be redoing the wrap around patio. HOA includes utilities: cooling, heating, water, trash, sewer, cox cable and cox internet Owner only pays for electricity (minus heating and cooling) Complex was also just approved as Historical landmark which decreases homeowners' property tax as long as they are owner occupied

5554 S Hawthorn Street Gilbert, AZ 85298

$625,000
2 Beds
2 Baths
1,917 SqFt
Status Active Under Contract
MLS # 6762890
Property Type Single Family Residence
Price Type --
Welcome to this beautifully home, where luxury meets comfort in a resort-like setting. The expansive backyard features a private heated pool complete with serene waterfalls and a relaxing hot tub—perfect for unwinding or entertaining. Inside, you'll find an array of incredible upgrades, including elegant 20'' tile flooring, plantation shutters, and stylish ceiling fans throughout. The front & back security doors invite in refreshing breezes, enhancing your outdoor living experience. Step out onto the large patio equipped with sunshades, offering breathtaking views of the San Tan Mountains. The low-maintenance artificial grass adds a touch of greenery without the hassle. ((CONTINUED)) The gourmet kitchen is a chef's dream, boasting staggered 42 maple cabinets, gorgeous granite countertops, stainless steel appliances, and a spacious kitchen island for all your culinary creations. Need a quiet workspace? The office features built-in maple cabinetry and a cozy window seat, providing both functionality and charm. Plus, the garage has been upgraded with insulation and a mini-split AC unit for added comfort. Roof, landscaping and pool heater have been upgraded in the last 2 years. This home is ready for it's next owner!

1982 W Periwinkle Way Chandler, AZ 85248

$625,000
2 Beds
2 Baths
1,839 SqFt
Status Active Under Contract
MLS # 6771908
Property Type Single Family Residence
Price Type --
Discover unparalleled lakefront living in the highly sought-after Montefino Village! This stunning lot offers breathtaking views of serene lakes, charming bridges, a tranquil waterfall, and a private park complete with walking paths. Completely Upgraded Throughout: No detail has been overlooked in this exquisite residence. Enjoy cooking with GE Profile appliances, quartz countertops, under-counter dimmable lighting, and soft-close kitchen drawers. Relax in the inviting living room featuring a gas fireplace and stunning slate flooring. Double pane windows with stylish shutters, ceiling fans throughout, and nearly new HVAC. Covered Patio with stunning views, misters and bistro lights. Schedule your showing today and seize the opportunity to enjoy your home, inside and out.

4402 W Goldmine Mountain Drive San Tan Valley, AZ 85144

$625,000
4 Beds
3.5 Baths
3,007 SqFt
Status Active
MLS # 6760727
Property Type Single Family Residence
Price Type --
This stunning 4 bedroom home with a den & a loft is nestled in the scenic beauty of San Tan Valley. This well maintained property offers breathtaking mountain views from both the front & backyard, adding to its serene atmosphere. The open floor plan with 9' ceilings allow for comfortable living, whether you're hosting friends or spending time with family. The kitchen is beautiful & features an island, granite countertops, pull outs & a ton of storage. Upstairs you'll find all 4 bedrooms, the loft, 3 full bathrooms & the laundry room. The owner's suite has gorgeous views of the backyard & mountains as well as a separate shower & tub, dual vanities & a large walk in closet. When you step outside into the backyard, you'll discover a deep pool perfect for cooling off in the Arizona heat. Enjoy movie nights under the stars in the pebble tech pool with a built in pull down projector screen. The pool also features a Baja step, a water feature, colorful LED lighting & it's extra deep. The covered patio & pergola is the ideal space for entertaining & outdoor dining. You'll love the beautiful backyard landscaping which includes a tangelo tree. Both the front & back have a yard watering system that can be controlled from your phone & there's also solar lighting. The backyard is absolutely spectacular! Pride of ownership is evident from the moment you walk in the front door. Within the past year a new AC unit, water softener & RO system were all installed. All appliances are also included with the sale. Located in a quiet & friendly neighborhood, this home is in the popular 85144 zip code on the Queen Creek/San Tan Valley border & it's just 15 minutes from Queen Creek Marketplace. The community of San Tan Heights features a ton of amenities such as a community center with a heated pool with lap lanes, a fitness center, a play area as well as several parks & playgrounds, & multiple volleyball & basketball courts. San Tan Heights is close proximity to San Tan Mountain Preserve for hiking & backpacking & minutes away from Golf Club at Johnson Ranch. You'll have easy access to shopping, dining, & entertainment while enjoying the tranquility of this lovely community. This home is the perfect blend of convenience, space, & charm & it's ready for you to call home!

2622 E Acoma Drive Phoenix, AZ 85032

$625,000
4 Beds
2 Baths
2,306 SqFt
Status Active Under Contract
MLS # 6775073
Property Type Single Family Residence
Price Type --
VIEWS, VIEWS, VIEWS!! Spectacular location in a very peaceful and serene neighborhood. Walk across the street and enter the preserve for a nice hike. Enjoy this unique floorplan w/updated kitchen, personal bar with built-in keg dispenser, updated bathrooms w/oversized master shower. Extended exterior deck for a place to escape while taking in the breathtaking views!

920 E Mitchell Drive Unit 102 Phoenix, AZ 85014

$625,000
3 Beds
2.5 Baths
2,212 SqFt
Status Active
MLS # 6784888
Property Type Townhouse
Price Type --
Welcome Home to Mitchell Lofts! Discover unparalleled luxury in this breathtaking 3-bedroom, 2.5-bathroom townhouse, ideally located in one of Phoenix's most sought-after neighborhoods. Spanning an impressive 2,200 sq ft, this sophisticated residence offers an open-concept design that seamlessly blends style and functionality. As you step inside, you'll be captivated by the soaring vaulted ceilings in the expansive living room, creating a grand and airy atmosphere. The gourmet kitchen is a chef's dream, featuring pristine granite countertops, sleek stainless steel appliances, a wine fridge, and custom cabinetry. The seamless flow between the kitchen and living areas makes it perfect for both intimate gatherings and entertaining guests. ((CONTINUED)) The master suite is a serene retreat, offering a spacious layout with a luxurious ensuite bathroom. Indulge in the spa-like experience with dual vanities, a walk-in shower, and a freestanding soaking tub. Every detail has been carefully crafted to create a sanctuary for relaxation. The lower level is just as impressive, with two additional bedrooms, a full bath, and a spacious family room - perfect for privacy or hosting. Beautiful ceramic tile flows throughout the main floor, while luxury vinyl plank flooring graces the lower level. For those who love outdoor living, a spiral staircase leads to a stunning rooftop deck, where you can enjoy panoramic views of the city skyline and beyond. Additional features include a two-car garage, storefront-style windows with custom coverings, and tasteful design elements throughout, making this townhouse the epitome of modern luxury.

7668 E Pleasant Run -- Scottsdale, AZ 85258

$625,000
2 Beds
2 Baths
1,590 SqFt
Status Active Under Contract
MLS # 6758723
Property Type Townhouse
Price Type --
McCormick Ranch: Scottsdale's Premier Location! Located in the highly sought-after Pleasant Run subdivision, this turn-key home is ready for you—just bring your suitcase and laptop! Homes rarely come on the market in this area, and this one offers a spacious, open floor plan with NO INTERIOR STEPS. It features 2 bedrooms, 2 baths, a cozy fireplace in the living room, and a 2-car garage. The quiet, low-maintenance patio offers privacy with high walls, accessible from both the living room and the primary bedroom. The home is filled with natural light thanks to skylights throughout. All furniture is available with the home, making moving in a breeze! Enjoy the community amenities, including a pool, spa, tennis, and pickleball courts. The location is unbeatable: The garage has fresh epoxy floors. The Jacuzzi tub is sold AS IS. 20+ restaurants within walking distance Close to shopping, Diamondbacks spring training, resorts, casino, and nightlife 5 minutes from Loop 101 10 minutes to The Block, The Pavilions, Gainey Ranch, and The Entertainment District Bike to Tempe Town Lake or along the Discovery Trail (25 miles of scenic paths) Stroll around the beautiful lakes or golf at McCormick Ranch Golf Course. The possibilities are endless in this fantastic location!

4622 E Firestone Drive Chandler, AZ 85249

$625,000
4 Beds
2 Baths
2,255 SqFt
Status Active
MLS # 6777232
Property Type Single Family Residence
Price Type --
Welcome to this gorgeous 4-bedroom home with an RV gate, thoughtfully designed and adorned with features you'll love! Discover a spacious open floor plan perfect for entertaining and everyday living, showcasing wood flooring, pre-wired surround sound, and a cozy fireplace that adds warmth and charm. Granite counters, SS appliances, recessed lighting, a pantry, a prep island with a breakfast bar, abundant cabinetry with crown moulding, and subway tile backsplash complete this spotless kitchen. Large main bedroom is a serene retreat, offering plush carpet and an ensuite with dual sinks. The Bonus room can be used an office, play space, or more! Expansive backyard won't disappoint, equipped with a covered patio, paver seating area, and a refreshing pool ideal for year-round enjoyment.

30124 W Mckinley Street Buckeye, AZ 85396

$625,000 - 4Br/2Ba -  for Sale in West Phoenix Estates Unit 12, Buckeye
New
$625,000
4 Beds
2 Baths
1,977 SqFt
Status Active
MLS # 6788382
Property Type Single Family Residence
Price Type --
Just WOW! This beautiful 4-bed, 2-bath home nestled on a HUGE 1-acre lot will surely impress you! Great curb appeal with a desert landscape, stone accent details, & a front porch. The fabulous interior boasts abundant natural light, a neutral palette, wood-look tile flooring in common areas, and plush carpet in bedrooms. The impressive eat-in kitchen offers SS appliances, granite counters, recessed & pendant lighting, an island, a pantry, and a bay window. Its peninsula, with a breakfast bar, overlooks the large living space for a great room effect! The main bedroom has a barn door that opens to the ensuite with dual granite sinks, soaking tub, tiled shower, & a walk-in closet. Laundry room with a sink & cabinetry. Unlimited landscaping potential can be explored in the expansive backyard! You'll love the full-length covered patio to relax and an oversized trailer that can be a workshop or storage. Bring your toys, horses, trucks, RV, & other animals - this property has plenty of space for all. Enjoy the neighborhood's tranquility and serene mountain views! Conveniently close to the I-10. Ready to move in! Don't miss this opportunity!

16214 E Bainbridge Avenue Fountain Hills, AZ 85268

$625,000
3 Beds
2 Baths
1,485 SqFt
Status Active
MLS # 6773629
Property Type Single Family Residence
Price Type --
Welcome to your beautifully updated and meticulously maintained home with a sparkling pool and sweeping mountain views in scenic Fountain Hills. Your remodeled kitchen has handsome stainless appliances and quartz counter tops, and it opens to the spacious great room with mountain views, a vaulted tongue and groove ceiling, fireplace, sound system, large flat-screen TV and dining area. Step outside to the amazing backyard with a covered patio, panoramic mountain views, synthetic lawn, artistic pavers and resurfaced pool (2023). Relax in your primary suite with an updated bath, walk-in closet and a door to the covered patio. Two guest bedrooms, updated guest bathroom, laundry room and 2-car garage with a storage room complete this lovely home. No HOA! Lucky you to live in Fountain Hills - a beautiful town known as an international dark sky community, with gorgeous mountain views, a world-famous fountain, a large public art collection, numerous special events, world-class golf and a mountain preserve with hiking trails. Many outdoor activities are within a 30-minute drive - hiking, cycling, boating, fishing, camping, horseback riding, plus popular areas of Scottsdale with wonderful dining, shopping, entertainment, hospitals and renowned school, BASIS Scottsdale. Sound system components, DVD player and TV in great room/family room are included in the sale, if requested by Buyer. All windows and sliders were replaced in 2013. New 14.00 SEER Trane A/C in 2016. For more information on all the updates for this wonderful home see the attached list.

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