What’s Ahead For Mortgage Rates This Week – September 19, 2016

Last week’s economic news included reports on retail sales, inflation, and weekly reports on mortgage rates and new jobless claims.

Retail Sales Slip as Consumer Prices Inch Up

Retail sales dipped into negative territory in August with a reading of -0.30 percent as compared to expectations of -0.10 percent and July’s reading of +0.10 percent. Retail sales excluding auto sales were better at +0.30 percent. Analysts expected a reading of +0.20 percent based on July’s reading of -0.40 percent. August’s negative reading for retail sales was the first negative report since March.

Inflation fared better than retail sales with August’s Consumer Price Index reading at 0.20 percent. Analysts expected a reading of 0.10 percent; July’s reading was flat. Core Consumer Price Index readings for August are less volatile, as the Core CPI does not include readings for food and energy costs. August’s Core CPI reading was 0.30 percent. A reading of 0.20 percent was expected; July’s reading was 0.10 percent. It appears that inflation is creeping upward, but remains well below the Fed’s target reading of 2.0 percent.

Mortgage Rates, New Jobless Claims Rise

Freddie Mac reported higher mortgage rates across the board last week. The average rate for a 30-year fixed rate mortgage rose six basis points to 3.50 percent; the average rate for a 15-year fixed rate mortgage rose one basis point to 2.76 percent and the average rate for a 5/1 adjustable rate mortgage rose one basis point to an average of 2.82 percent. Average discount points were 0.50 for 30 and 15-year fixed rate mortgages and 0.40 percent for 5/1 adjustable rate mortgages.

Low mortgage rates have helped home buyers, especially first-time and moderate income buyers, meet affordability challenges. Home prices have risen due to low numbers of available homes and high demand for homes. If mortgage rates continue to rise, fewer buyers will be able to qualify for mortgages and or afford asking prices for available homes.

Next week’s meeting of the Fed’s Federal Open Market Committee is expected to bring news of a Fed decision on raising the target federal funds rate. If the Fed raises its rate, consumer interest rates for mortgages, vehicles and other goods can be expected to increase as well.

Whats Ahead

This week’s economic news includes the NAHB Housing Market Index, Commerce Department reports on housing starts and building permits issued and a Fed Statement at the conclusion of its Federal Open Market Committee meeting on Wednesday. Fed Chair Janet Yellen is also slated to give a press conference after the FOMC statement. The National Association of Realtors will also release a report on sales of previously owned homes.

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21211 N 38th Place Phoenix, AZ 85050

$1,249,900
4 Beds
3.5 Baths
3,552 SqFt
Status Active Under Contract
MLS # 6751849
Property Type Single Family Residence
Price Type --
Here is a rare opportunity to own a FULLY remodeled home in the highly sought after Fireside at Desert Ridge Community. The first floor features a kitchen to living room open concept with soaring ceilings, 1/2 bath, dining room, office and en suite guest room. The 2nd floor includes a loft, 2 guest rooms, full bath and primary bedroom. Interior upgrades include new flooring and paint throughout. Kitchen-Custom island and breakfast nook, resurfaced cabinets, backsplash, and high end ss appliances and sink. Living Room-new entertainment center with oversized fireplace and built in wine fridge. All bathrooms-upgraded floor tile, countertops, sinks, tiled showers and glass doors. Exterior upgrades-full home paint, front courtyard pavers and gas fireplace, lighting, turf, gazebo & misters.

2508 E Whitton Avenue Phoenix, AZ 85016

$1,249,900
4 Beds
3 Baths
2,540 SqFt
Status Active
MLS # 6729082
Property Type Single Family Residence
Price Type --
Don't miss this charming ranch-style home nestled in the desirable Kelton Manors neighborhood, mere moments from The Biltmore. This home features an inviting open, split floor plan accentuated by soaring vaulted ceilings, a gas fireplace and Hickory hardwood floors throughout. Step into the heart of the home, where a gourmet kitchen awaits with custom cabinets, a substantial island showcasing elegant waterfall-edge quartz counters, and stainless steel appliances including a gas range, ensuring both style and functionality. Boasting two spacious master suites, this home offers unparalleled comfort and privacy. The expansive backyard oasis, complete with mature landscaping, covered patio, large diving pool for refreshing dips, a cozy fire-pit for evening gatherings, and an outdoor grill Adding to its charm, a 400 sqft guesthouse provides versatile space for guests or creative pursuits. Home sits on a double lot with irrigation. New A/C on the main house in 2023. This property truly embodies the essence of an entertainer's dream and offers a seamless blend of sophisticated living and relaxed outdoor enjoyment, making it a must-see!

5045 E Redfield Road Scottsdale, AZ 85254

$1,249,900
3 Beds
2.5 Baths
3,213 SqFt
Status Active
MLS # 6701085
Property Type Single Family Residence
Price Type --
Entertainer's Dream! Enter this beautiful home thru double doors into grand foyer with view to elegant curved staircase. Lovingly remodeled for comfort, light & open space. Flexible floor plan provides various gathering spaces for use as home office, media room, game room, etc. Island kitchen open to family room & formal dining room & features stunning quartzite slab counters. Built in electric cooktop, microwave & double ovens. Two sets of sliding doors lead to beautiful backyard with refreshing pool, several sitting areas, firepit & built in BBQ island. Media room has wet bar & wine cooler, Fireplace in family room & office. Spacious owner's suite upstairs with balcony overlooking pool. Two other bedrooms & bath upstairs. Conveniently located near popular shopping & dining destinations.

458 W Rock Lane Lakeside, AZ 85929

$1,249,900
4 Beds
4 Baths
3,510 SqFt
Status Active
MLS # 6689402
Property Type Single Family Residence
Price Type --
Immerse yourself in the beauty of the White Mountains with this beautiful 4-bedroom, 4-bathroom Pinetop-Lakeside residence. Fronting Edler Lake in front and the U.S. Forest Service in back, this cedar-sided home is surrounded by nature, where wildlife abounds. At over 3500SF, 2 spacious decks, plus a patio, this is luxury mountain living at its finest. Spend your days hiking, fishing, kayaking, horseback riding, biking, skiing, and more. Providing an ''in the forest'' feeling, the property is very conveniently minutes from everything. The property currently operates as a vacation rental, with a strong history of income. Make it your own home or secondary residence, continue to operate it as a vacation rental, or do a combination of both. Furnishing may convey by separate bill of sale.

12061 W Miner Trail Peoria, AZ 85383

$1,249,500
5 Beds
4 Baths
4,824 SqFt
Status Active
MLS # 6690684
Property Type Single Family Residence
Price Type --
This luxury home provides the perfect blend of gated community living, a large corner lot with resort style backyard retreat and expansive square footage for the business owner, entertainers and multi-generational living. Located conveniently off the 303 in the Village of Vistancia, this T.W. Lewis 4,824 sqft single story basement home features four bedrooms with a large master suite, a cook's kitchen with high end appliances and a large granite island, a family-room with big screen TV and gas fireplace, an impressive professional home office with a built-in desk and cabinets and formal living and dining rooms. On the basement level, owners will enjoy space for a large home theater or entertainment area, a snack bar, butler's pantry and two lower-level bedrooms - an escape from the summer heat! An expansive garage with classic paver driveway welcomes parking for three cars in addition to the extended three-car garage, features a newly added Guardian aspartic floor and a dedicated 50-amp EV charging outlet. Step right outside your back door to enjoy your private oasis - free form pool, a large, covered deck with a misting system and two seating areas, a custom BBQ bar, a stone fireplace relaxation area and newly installed putting green. Technology abounds with high-speed fiber optic Internet access, wired Ethernet ports, a home intercom system, multi area sound system and a home security system.

5250 E Deer Valley Drive Unit 406 Phoenix, AZ 85054

$1,249,000
2 Beds
2.5 Baths
1,778 SqFt
Status Active
MLS # 6761328
Property Type Apartment
Price Type --
Upgrades galore in this fabulous 4th floor, full pool view condo at the The Luxe at Desert Ridge. Experience refined living in this luxury community. Exclusive clubhouse, meeting spaces, and entertaining kitchen. Relax in the theatre, stay fit in the 4400 sf gym, or swim in the Olympic-length pool. Just minutes from the Mayo Clinic, Scottsdale Quarter, Kierland Commons, and High Street with easy freeway access to the airport, downtown, and surrounding areas. Washer & Dryer convey. Light fixture in Guest Bedroom does not convey.

3799 S Skyline Drive Gilbert, AZ 85297

$1,249,000
5 Beds
3.5 Baths
4,349 SqFt
Status Active
MLS # 6735516
Property Type Single Family Residence
Price Type --
Welcome to your dream home in the highly sought-after Power Ranch community in Gilbert, AZ! This exquisite residence boasts luxurious features and modern amenities, perfect for comfortable family living and elegant entertaining. Enjoy the sophistication of crown molding, newer flooring and plantation shutters throughout the home. Inside you will find a beautifully designed den with built-in desk and bookshelves; ideal for a home office or study. The home features 5 generously sized bedrooms, including a convenient ensuite bedroom on the main level, perfect for guests. The kitchen is a chef's delight with new quartz countertops, stainless steel appliances, wall ovens, an island with a breakfast bar and updated cabinets. The great room, adjacent to the kitchen, is the perfect place to watch television, enjoy the fireplace and take advantage of the beautiful backyard views. The spacious primary bedroom is a true retreat located on the 2nd floor with an elegant, recently updated ensuite featuring a gorgeous walk-in shower, a luxurious jetted tub and an enormous closet. Four more large bedrooms are located upstairs along with a beautifully updated bathroom. Also located upstairs is an enormous bonus room! This versatile space is perfect for working out, watching TV or relaxing in the sauna that conveys with the home! Situated on a premium view-fence lot, offering stunning views and added privacy, the backyard is an entertainer's dream. A built-in barbecue, cozy fireplace, heated swimming pool and spa, putting green and low maintenance yard make weekends about relaxing, not work! A huge four car garage provides ample room for parking and storage. The paver driveway, entryway and side courtyard add to the home's curb appeal. Get out of the house and enjoy the Power Ranch community featuring tennis courts, splash pads, playgrounds and a lake. Absolutely no reason for boredom in this community! Don't miss out on the opportunity to own this incredible home and experience the perfect blend of luxury and comfort in Power Ranch.

7755 E Evening Glow Drive Scottsdale, AZ 85266

$1,249,000
3 Beds
3.5 Baths
2,736 SqFt
Status Active
MLS # 6753642
Property Type Single Family Residence
Price Type --
Elegant Desert Sanctuary in Winfield's Guard-Gated Community! Discover Desert living at its finest in this exceptional 3 bed, 3.5 bath, 3 car-garage home located within the prestigious guard-gated Winfield community in North Scottsdale and situated on a private cul-de-sac lot with gorgeous Mountain Views. This stunning residence seamlessly blends Southwest elegance with modern comforts such as two separate den/offices, making this the perfect ''work from home'' situation. As you step inside, be welcomed by soaring ceilings and a cozy gas fireplace anchoring the expansive living area. A custom wall featuring Italian Limestone with an integrated surround sound Control 4 TV system to elevate the space and all highlighted by energy-efficient LED lighting throughout. The gourmet kitchen is a chef's dream, featuring an electric range, custom cabinetry and a generous island perfect for meal prep and casual dining. The dining area, framed by expansive windows offers stunning desert views for a serene dining experience. The luxurious Master suite serves as your private retreat, complete with a walk-in closet, a spa-inspired en-suite bathroom with a soaking tub and a glass-enclosed shower. Both additional bedrooms are en-suite, offering privacy and comfort for family and guests, making this home ideal for those who appreciate their own private spaces. Step outside to your private desert oasis that boasts a spool, built-in grill, and covered patios extending from both the living area and master suite. This outdoor space, with front and back views of the serene Sonoran Desert is perfect for both tranquil mornings and starlit evenings. Practical mechanicals include a newer AC system, soft water filtration, a newer water heater, and a recently replaced garage door. The three-car garage is equipped with cabinets, a workshop area and a mobile AC unit in the third bay. The washer/dryer and garage refrigerator are all included, adding convenience for the new homeowner. Additional highlights included in this immaculately cared for gem are a freshly painted exterior, new toilets throughout, new ceiling fans, a half-bath in the hall and a convenient laundry sink. All these details come together in a residence that offers luxury, comfort, and functionality in one of Scottsdale's most coveted communities. Gently lived in and immaculately cared for this home is a true lock & leave making it the perfect Winter retreat or super easy day to day living. Ideally located to North Scottsdale's finest restaurants & shopping!

745 Crosscreek Drive Prescott, AZ 86303

$1,249,000
4 Beds
3 Baths
3,184 SqFt
Status Active
MLS # 6756804
Property Type Single Family Residence
Price Type --
Tucked away among the pines and overlooking the 5th fairway of the prestigious Capital Canyon Golf Club in Hassayampa, this 3,184 sq. ft. home offers both privacy and scenic beauty. The large deck is perfectly positioned to capture views of the lush course, distant mountains, and city lights, all while staying shaded from direct sunlight—ideal for morning coffee or evening cocktails, with a gentle breeze adding to the comfort. The interior features a welcoming great room with soaring, beamed ceilings, a dramatic floor-to-ceiling stone fireplace, and cherry hardwood floors. The updated kitchen is equipped with custom cherry cabinetry and premium granite countertops, perfect for both casual meals and entertaining. The main floor includes a spacious master suite with a large bath and walk- closet, along with two additional bedrooms and a bath. On the lower level, a guest suite provides extra privacy with its own living area, bedroom, and bath, plus access to a private patio. Located along the 5th fairway, this home offers an ideal balance of peaceful retreat and stunning views in the heart of the Hassayampa community.

40202 N Oakhurst Court Anthem, AZ 85086

$1,249,000
6 Beds
4.5 Baths
4,704 SqFt
Status Active
MLS # 6747589
Property Type Single Family Residence
Price Type --
This spacious cul-de-sac home is a true gem, offering the ideal combination of comfort, style, and convenience. Nestled on an end lot next to a charming community park, this home ensures privacy and scenic views. The oversized, updated kitchen—complete with new granite countertops, resurfaced cabinets, and a fresh backsplash from 2022—makes it a haven for culinary enthusiasts. The family room is the perfect spot to unwind, featuring a stunning stacked stone fireplace that adds warmth and character. The primary bedroom serves as a private retreat, and the entire home is enhanced with beautiful designer touches and custom paint. The serene private entry courtyard creates a peaceful ambiance for relaxation. With owned solar panels, you'll enjoy the added benefit of low electric costs, key Key updates include a freshly painted interior 2021, exterior paint in 2017, and refreshed again in 2024 for the backyard and south-facing areas. A new tankless water heater and three Trane A/C units added in 2021, a water softener installed in 2019, and a new pool heater 2024 and washer/dryer set added in 2023.

5735 E Paseo Hermosa -- Cave Creek, AZ 85331

$1,249,000
3 Beds
3 Baths
3,118 SqFt
Status Active Under Contract
MLS # 6757664
Property Type Single Family Residence
Price Type --
Nestled in a tranquil setting within walking distance of Rancho Manana Golf Course. This custom home allows you to entertain in style. The expansive main level boasts soaring ceilings, and a custom fireplace. The kitchen has granite countertops, maple cabinets, and a walk-in pantry. The master retreat offers a spa-like bath, oversized walk-in closet, and a private patio. Enjoy the negative edge pool, spa, and dramatic 65-foot waterfall. This meticulously maintained home has too many extras to list here, so please look at the features list. The 3-car garage has a mini-split and has extensive storage cabinets. There's no HOA. It does have RV parking. Solar keeps the electric bills low. The exquisite attention to detail, manicured grounds and location make this home a rare find. 65-foot waterfall feature cascading behind the pool. The base of the waterfall is perfect for quiet dinners and wildlife viewing. The lot extends beyond the backyard, including the wash, and partially up the hill, creating a serene, private atmosphere. This meticulously maintained home has too many extras to list here, so please look in the documents tab for a detailed list of features and upgrades. The 3-car garage is heated and cooled and has extensive storage cabinets. The rooftop solar system keeps energy bills low throughout the year. Although the homes in the area are elegant, there is no HOA with room for a boat or RV parking behind the home. The exquisite attention to detail, manicured grounds, mature landscaping, and location make this home truly a rare find.

7161 E Rancho Vista Drive Unit 5012 Scottsdale, AZ 85251

$1,249,000
2 Beds
2 Baths
1,433 SqFt
Status Active
MLS # 6666183
Property Type Apartment
Price Type --
Exquisite 5th-floor condominium boasting unparalleled views of Camelback Mountain. The terrace is a verdant oasis offering endless vistas of the majestic mountainscape/This unit has one of the largest private patios ever offered.(approx 3,000 s.f.!) Interior enhancements include travertine flooring, granite countertops, cherry cabinets complemented by stainless steel appliances, and a gas cooktop catering to culinary enthusiasts. The den, featuring framed glass sliding doors, doubles as a guest bedroom for added versatility. The master suite exudes luxury with a private master bath and ample walk-in closet space. Floor-to-ceiling windows in the spacious master bedroom amplify the stunning views of Camelback Mountain, while a second terrace off the master bedroom provides another delightful retreat. Located within Optima Camelview Village. Community Features include: Two serene outdoor pools, spas, and BBQ areas one on each side of the community, heated for year-round enjoyment. A 24,000 S.F. fitness center recently refurbished for optimal wellness experiences. Separate men's and women's locker rooms equipped with steam rooms, showers, and private lockers. Indulge in the indoor lap pool and two additional heated spas. Additional offerings comprise an on-site concierge, package room, a putting green, private dog park, a hybrid basketball/pickleball court, a racquetball court, and the convenience of an on-site restaurant, Metropolis. Also available are conference rooms, 24/7 security, a reservable rec room, and a versatile fitness/yoga area for community use. A must-see property offering unparalleled living experience.

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