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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7520 E Highland Avenue Scottsdale, AZ 85251

$2,225,000
6 Beds
6 Baths
4,082 SqFt
Status Active
MLS # 6755898
Property Type Single Family Residence
Price Type --
Do not miss this NEW stunning architectural marvel, nestled in Old Town Scottsdale steps from Fashion Square, boasting a 24-foot ceiling and 4,082 square feet of luxurious living space. The home seamlessly blends into its natural surroundings, offering a harmonious union of form and function. As you enter, you are greeted by an impressive foyer that sets the tone for the rest of the home, and the spacious living areas boast an abundance of natural light and elegant finishes, creating an inviting atmosphere for entertaining guests or relaxing with the family. The gourmet kitchen is a chef's dream, featuring high-end appliances, custom cabinetry, thick slab Quartz, French Oak wood floors throughout. The home is more than just a sanctuary in the desert, it provides a vantage point to witness the beauty of Arizona's sunsets and the twinkling city lights below from the strategically placed view deck. Walking distance to Old Town Scottsdale and Fashion Square. An unparalleled setting amidst picturesque landscapes and breathtaking mountain vistas, the home offers a lifestyle of convenience and sophistication, with proximity to upscale shopping destinations, fine dining establishments, and world-class entertainment venues, ensuring every desire is effortlessly met. Yet, despite its proximity to urban amenities, the home remains a sanctuary of serenity and seclusion, offering a peaceful retreat from the hustle and bustle of city life. Situated with prominence, the home embodies luxury living with its timeless design and modern amenities.

4122 E Mclellan Road Unit 13 Mesa, AZ 85205

$2,224,000
4 Beds
5 Baths
4,950 SqFt
Status Active Under Contract
MLS # 6691311
Property Type Single Family Residence
Price Type --
Beautiful extensive remodeled gem nestled within a picturesque highly sought after North Mesa neighborhood. This home has over 1 million dollars in the remodel. From the moment you step inside, you're drawn to its contemporary open floor plan, characterized by an inviting spaciousness and soaring ceilings from 10-12 feet. This dream kitchen is adorned with top-of-the- line Wolf/Subzero appliances, elegant designer cabinets. New wood floors (this week) throughout main living area where ever corner has been thoughtfully designed, from the meticulously detailed bedrooms and bathrooms to the primary bedroom suite. The closet designed to accommodate every wardrobe need with ease. Outdoors, a lavish ramada oversees a chef-grade kitchen. Landscaping and a gorgeous new pool/spa make a statement, Features include new pavers, decking, a gorgeous inviting pool with slide, a hot tub, and artificial turf. Valuing greenery, flood irrigation supports most trees. Entertainment is paramount with an outdoor surround sound system, dual movie screens, and a cozy fireplace. A perfect blend of luxury and technology. All the work has been completed, come and enjoy!

37200 N Cave Creek Road Unit 1111 Scottsdale, AZ 85262

$2,207,900 - 4Br/5Ba -  for Sale in Desert Mountain, Scottsdale
Open House
$2,207,900
4 Beds
4.5 Baths
2,631 SqFt
Status Active
MLS # 6438273
Property Type Townhouse
Price Type --
Brand new construction! Spectacular lower level unit. 2,631 sq. ft., 4 beds, 4.5 baths, 2 car garage with golf cart/storage area. The 4th bedroom has a separate entrance from the home and can be used as a guest casita, giving your guests their own privacy! This unit has an expansive covered patio and another off the Primary bedroom. The covered patio off the great room has an outdoor fireplace with stunning mountain and golf course views. Retracting doors optimize your outdoor enjoyment with plenty of room for indoor/outdoor entertaining. Great room features gas fireplace and an enlarged picture window to capture the babbling brook of the Seven golf course. Steps away from the clubhouse. Ready Now! DM approval and Membership required. Avoid the wait list!

3525 S Kings Ranch Court Unit 4 Gold Canyon, AZ 85118

$2,207,621
4 Beds
4 Baths
4,049 SqFt
Status Active
MLS # 6667014
Property Type Single Family Residence
Price Type --
MODERN + VIEWS, VIEWS & MORE MODERN VIEWS!!!! This custom Modern in the desert stands out amongst its neighboring Adobe sisters and it has all the views. With 7124 sq ft under roof, it is almost as if you can swim right up to the mountains from the living room. This home sits on a nice elevated pad and offers the ultimate climate controlled observation deck of the Tonto National Forest from your great room. With 16' soaring ceilings & towering walls of glass all looking out at the mystical Superstition Mountains. The list of amenities in this build is to much to list, This is a must see to appreciate this builders modern masterpiece. For the car enthusiast the 6 car tandem garage offers ample space for a modest collection with over 1770 total insulated garage space.

2457 E Amber Court Gilbert, AZ 85296

$2,200,000
5 Beds
5.5 Baths
5,249 SqFt
Status Active
MLS # 6737871
Property Type Single Family Residence
Price Type --
Welcome to your dream home! Nestled on a corner lot within the prestigious gated community of TH Ranch in Gilbert, Arizona, this exquisite 5-bedroom, 5.5-bathroom estate offers unparalleled luxury and comfort. With 5249 sqft of single-story living space, this home features an open floor plan designed for modern living, with 12' ceilings. The heart of the home boasts a gourmet kitchen with double-stacked cabinetry, stunning quartz countertops, and top-of-the-line Wolf and Sub-Zero stainless-steel appliances, making it a chef's paradise. Choose between two luxurious primary suites, perfect for ultimate privacy or an ideal setup for a home theater, both including expansive his/her walk-in closets. Each of the additional bedrooms features its own private ensuite bathroom, ensuring comfort... and convenience for every member of the family. A thoughtful in-law suite/wing provides a separate living space for guests or extended family, ensuring everyone has their own retreat. Step outside to a beautifully paved courtyard and a stunning salt water pool, perfect for relaxation and entertaining. The home backs to a serene greenbelt, offering beautiful views and added privacy. For car enthusiasts, the property includes an attached 4-car extended garage and a detached 50' temperature-controlled RV garage with 220V power, capable of accommodating up to 4 additional cars. Positioned on a desirable corner lot, this home offers added space and privacy within the community. This magnificent home combines luxury, functionality, and style in one of Gilbert's most sought-after communities. Don't miss your opportunity to own this incredible property!

10952 E North Lane Scottsdale, AZ 85259

$2,200,000
5 Beds
4.5 Baths
3,656 SqFt
Status Active
MLS # 6756082
Property Type Single Family Residence
Price Type --
This stunning contemporary home is the jewel you have been waiting for! 5 bedrooms, 4.5 baths. Fabulous primary suite with closet ''to die for'' and a secondary bedroom with Murphy bed on main level.Gourmet style kitchen is beautifully appointed with stainless appliances and quartz counters.Oak Hardwood flooring throughout home. Unique custom iron stair railing is a piece of art on its own. Wide open living space with soaring 15' high windows& 40' of glass on south side. Sliding doors open wide to south facing serene private backyard oasis. Custom pool with edgeless design & luminar lighting Retractable patio awnings. 3 beds up with baths. For more...please see feature sheet in Doc tab. Art work on back exterior wall does not convey.Basis school and Mayo near by.Great lock & leave!

715 S Cactus Wren Street Gilbert, AZ 85296

$2,200,000
4 Beds
4.5 Baths
4,557 SqFt
Status Active
MLS # 6694805
Property Type Single Family Residence
Price Type --
Situated in a highly coveted neighborhood, this beautiful residence offers the perfect fusion of contemporary luxury interior and tranquil country environment. Just a half mile from a major commercial intersection (Warner and Val Vista) in Gilbert and 10 minutes from the San Tan mall area with sprawling options for shopping and restaurants, this 1.3 acre property is nestled with other 1+ acre properties to create serene and green surroundings. This home was completely remodeled in 2022 with a modern design and meticulous attention to every design detail. Raised contemporary ceilings, new sleek flooring throughout and new plantation shutters all added for a clean and stylist presentation. Lush landscaping, plentiful grass, and an 8 foot perimeter wall provides privacy and an atmosphere of relaxation. A new pool with waterfall features and diving area is under construction and scheduled for completion by November. Please excuse any noise or outside dirt you may encounter. In addition, the 2022 remodel included a new HVAC, hot water heater, water softener, RO system, appliances and high grade insulation accompanied the interior and exterior emodel. The heart of the home lies in the gourmet kitchen and family room with a high vaulted shiplap ceiling, a sprawling island countertop (seats 10) and an array of high-end appliances for indulgence in culinary delights or just gathering together. Entertainment abounds with a renovated movie room with 8 recliner chairs blue toothed for sound to provide an optimal cinematic experience. All of this combined with a new state-of-the-art Sony projector and sound system. There are 2 primary bedrooms with large en-suite bathrooms including separate showers and soaking tubs. Two additional large bedrooms, one with an en-suite bathroom, supports many family and living combinations. All bedrooms and bathrooms were gutted and redone to create a sense of spa-like tranquility. This and more protected by a comprehensive security system. Come see it and feel it for yourself.

25313 N 114th Street Scottsdale, AZ 85255

$2,200,000
4 Beds
4.5 Baths
4,271 SqFt
Status Active
MLS # 6733090
Property Type Single Family Residence
Price Type --
Sweeping and forever Epic Arizona Landscape Views, Quality Construction plus the entire walkout can be used as Guest Quarters and opportunity to extend the kitchenette to a full kitchen. At the base of Troon Mountain, aka TROON VILLAGE at WINDYWALK featuring breathtaking views of Troon Mountain, Four Peaks, and McDowell Mountain. This exquisite home offers single level living with no steps from the main entrance or the garage, into an open kitchen layout, formal living, family room, breakfast nook, primary bedroom and 2nd bedroom, full Laundry and powder room. The Guests Quarters: Down below: * Guest Quarters: Entire floor perfect for visitors or extended family. * Outdoor BBQ: Enjoy al fresco dining with a stunning '40-mile view.' * Old World Charm: Beveled travertine stone adds a touch of elegance. * Spacious Living: Two family rooms provide ample space for relaxation and entertainment. * Three Fireplaces: Cozy up in style with three fireplaces throughout the home. * Three-Car Garage: Plenty of space for vehicles and storage. Experience luxury living with epic views and exceptional construction quality. See motion Video; YOU MAKE THE CALLL

3401 N 34th Place Phoenix, AZ 85018

$2,200,000 - 4Br/4Ba -  for Sale in Pomelo Park Annex, Phoenix
New
$2,200,000
4 Beds
4 Baths
3,217 SqFt
Status Active
MLS # 6759345
Property Type Single Family Residence
Price Type --
In the highly desirable neighborhood of Pomelo Park, this Arcadia home has everything you need to make memories that will last a lifetime! This impressive 3,200+ sq ft, 4-bed/4-bath (three en-suite) home features 9-ft ceilings, split master plus a central office with pool/backyard views. As you arrive at the property you'll be impressed with the curb appeal of this home. Mature trees, white crossbuck ranch rail fence, and a three car epoxied garage with lots of extra parking space contribute to the initial impression that continues throughout this beautiful home. Step inside and you're greeted by a true indoor/outdoor living space. Double sided floor-to-ceiling sliding glass doors completely open the interior & make this home ideal for entertaining. The large open concept kitchen boasts marble countertops, two wall-mounted ovens, microwave drawer, side-by-side fridge/freezer combo, pot filler over the stove, a large island and walk-in pantry. There is an oversized farm sink with an additional sink in the kitchen island. The pool is great for year round usage with the newly installed and updated pool equipment, pool heater and salt cell. Additional backyard features include three built-in pool fountains, a heated outdoor shower, a covered oversize patio, built-in BBQ, and large grassy area. The home has energy saving spray foam wall insulation and a synthetic stucco exterior for ease of maintenance. Come and see for yourself why this home won't be on the market long!

1426 W Royal Palm Road Phoenix, AZ 85021

$2,200,000
5 Beds
4.5 Baths
4,588 SqFt
Status Active
MLS # 6754084
Property Type Single Family Residence
Price Type --
This stunning home is the epitome of sophisticated living. With its grand vaulted ceilings, expansive living area, and five spacious bedrooms, this property offers over 4,588 square feet of living space. The home sits on a magnificent 27,408 square foot lot, which includes a pool and pool house, spanning over 260 square feet. The property is being sold as-is making it a perfect opportunity to customize your dream home. Located in the coveted Royal Palm area, this home provides unparalleled convenience with its central location. The entertainer's backyard offers the perfect space to host gatherings with no neighbors to the side or behind. It is a rare find that offers the perfect blend of modern design and style, making it the perfect place to call home. COURT APPROVAL NEEDED. BRING OFFER

4832 W Saguaro Park Lane Glendale, AZ 85310

$2,200,000
5 Beds
3 Baths
2,434 SqFt
Status Active
MLS # 6740269
Property Type Single Family Residence
Price Type --
This is a rare opportunity to own over 3 acres with a beautiful custom home in the desirable Saddleback Meadows! Prime corner lot with no HOA. Original Owners, care of the home does not go unnoticed. Touches of custom wood and molding through out the home. Intercom system, Central vacuum system. Wonderfully large pool to enjoy. Just down the street from a golf course off Pinnacle Peak rd. There's hiking on the Thunderbird Park. access to shopping centers and entertainment. Easy access from I-17 and 101. Endless opportunites with over an acre on each side of the home. Investment opportunity to build custom homes as well or bring your horses. Lots can be sold separately.

702 E Carver Road Tempe, AZ 85284

$2,200,000
5 Beds
4 Baths
4,577 SqFt
Status Active
MLS # 6736179
Property Type Single Family Residence
Price Type --
Rare Opportunity! Privately gated, no HOA, 2012 build by VIP Homes, and on 0.75 of an acre lot with $600,000 spent in recent years exterior upgrades. This meticulously maintained custom-built estate is an entertainer's dream and is situated in an extremely convenient Tempe location. The main level features plenty of common area entertainment space with a nicely appointed chef's kitchen, plus a guest bedroom, bathroom, and bonus room. The upstairs includes a spacious master suite, entertainers loft, laundry room, and an additional three bedrooms and two bathrooms. The backyard is a show stopper, over $150,000 spent in installing mature privacy and resort-style trees alone. Complete pool remodel (2024) including a fire feature, new pebble tech surface, pool heater, and glass accent tile. The backyard also includes an incredible built in sound system, custom lighting, sport court, bar and Hydropool hot tub. Plenty of parking including a 3-car garage and an automatic RV gate with shaded parking. Don't miss this opportunity, it is a rare property you won't see every year.

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