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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5942 E Windstone Trail Cave Creek, AZ 85331

$1,119,000
4 Beds
3 Baths
3,035 SqFt
Status Active Under Contract
MLS # 6705330
Property Type Single Family Residence
Price Type --
Back on market! Buyer could not perform. APPRAISAL IN HAND (OVER $100K INSTANT EQUITY!!!!!) This home is an absolute showstopper!! Completely updated with no expenses spared. It's an equestrian's dream, having undergone a gorgeous revamp from Santa Fe to modern chic. With the perfect flow and comfort level, it's excellent for multi-family living or a large family. I truly cannot say enough about this home. The location is fantastic, having an incredible amount of privacy, while still being exceptionally close to all the amenities you could possibly want. The home sits on a 1.386-acre corner lot with no HOA! The curb appeal is stunning, with a horseshoe driveway and fully updated landscaping. A hand-sculpted wrought iron horse greets you upon entry to this grand equestrian ranch home. It features new synthetic stucco and a new stacked stone front entryway with travertine ledges. Beautiful front covered patio and a custom door welcome you into a huge, spacious open-concept home with 12-foot ceilings, hand-scraped wood laminate flooring, and a stacked stone entertainment area. The gorgeous chef's kitchen offers amazing counter and cabinet space, open to the great room. The kitchen boasts high-end stone quartz countertops, a chef's faucet, and high-end KitchenAid appliances - all new, including the refrigerator. The microwave features self-steam clean, and the double oven also has air fryer capability. This split-floor plan home is amazing!! Featuring two master bedrooms, the largest of the master bedrooms sits on one side of the home, with coffered ceilings and his and hers walk-in closets, as well as a dual-sided fireplace that services both the bedroom and the amazing spa-style master ensuite. Custom tile wraps the fireplace and the whole bathroom wall to ceiling, including a step-in oversized jetted tub and a large glass shower. Above the large jetted tub there is a handcrafted art piece of glass that was sandblasted with a gorgeous design from an artist in Cave Creek. A large laundry room with plenty of extra cabinet space, as well as entry to the massive three-car oversized garage, is also located on that side of the home. As you walk through the home on the other side, there is yet another large master bedroom with a separate patio exit to the backyard and a gorgeous master shower and walk-in closet. The home also features two additional large bedrooms with a full guest bath and double sinks. The fixtures throughout this home are all high-end, adding the perfect touch of elegance to bring the Santa Fe ranch alive with a modern flare. The home features a huge covered back patio perfect for entertaining, a spiral staircase with a sky deck that offers 360° views that are absolutely breathtaking both day and night. The backyard is a completely fenced-in horse property with water and electric out to the back, featuring covered corral stalls, a barn/tack room with electric and water, and an outdoor arena. There is so much extra space in the back for unlimited potential. The home has a three-car oversized garage including extra height, a garage door that could be used for a large truck and or small RV, and fresh epoxy floors. There is also rear RV entry and side gate RV entry. You don't want to miss this opportunity. This is a superb home with a beautiful location! Welcome home~

4212 E Via Dona Road Cave Creek, AZ 85331

$1,116,313
3 Beds
3.5 Baths
3,159 SqFt
Status Active Under Contract
MLS # 6736556
Property Type Single Family Residence
Price Type --
Quick Move-in Ready Home! Peak View is an intimate gated enclave of luxury single-level homes offering modern home designs by Cachet Homes. This Plan Two home is situated on a North/South lot and features 3,159 SF, 3 bedrooms, 3.5 baths, a 3-car garage, den, and an open-concept Great room and double island at the Kitchen. Additional upgrades include low maintenance desert front yard landscaping, Coastal painted and stained cabinets, quartz countertops, engineered wood floors, upgraded lighting package, and more!

6073 E Brilliant Sky Drive Scottsdale, AZ 85266

$1,115,000
2 Beds
2 Baths
2,096 SqFt
Status Active
MLS # 6724323
Property Type Single Family Residence
Price Type --
6073 EAST BRILLIANT SKY DRIVE - TERRAVITA CAELUM 2 BEDROOM/2 BATH WITH 2 CAR GARAGE. SOUTH BACKYARD ON GOLF LOT. ARIZONA SUN THROUGH MULTIPLE WINDOWS! LARGE LOT HAS EXPANSION OPTIONS FOR CASITA OR THIRD GARAGE. Lovely entrance to a tiled open area. Great room, living room with entertainment wall and wall of niches and fireplace. Windows to open area/golf course. Double doors to patio. Breakfast nook and kitchen open to entire area. Breakfast nook is surrounded by windows for spectacular views. Kitchen has SS appliances, gas stove, microwave, granite counter and side area with additional cabinetry and counter. Primary bedroom again with lots of windows and double doors to patio. Plantation shutters. Bathroom has double vanities, walk-in shower, soaking tub. Floor Plan att Click Second bedroom is spacious with plantation shutters. Bath has single vanity and tub/shower combo. Additional closet and cabinetry in hallway. Laundry has cabinetry and counter space area. Backyard paradise: golf course lot and open for privacy; pool; paved, rock and grass with grass partially in yard and down side; covered patio; grill area. Perfect Arizona home for entertaining and luxury living.

9823 E Dead Sure Place Gold Canyon, AZ 85118

$1,110,000
4 Beds
4 Baths
3,074 SqFt
Status Active
MLS # 6760838
Property Type Single Family Residence
Price Type --
Immaculate Luxury Surrounded By 360 Degree Vistas For As Far As The Eye Can See! STUNNING Architecture Features Curved Walls, Rounded Corners, Cathedral Ceilings & Arched Windows! Upgrades Include Travertine Floors, Granite Counters, Stainless Appliances, Solid Alder Interior Doors, MASSIVE Custom Front Door & Ramada, Custom Wrought Iron Railings, Wet Bar, Fireplace, Private Patios Galore & More! Outside Is An Entertainers Dream w/Multiple Seating Areas, Built In BBQ, Outdoor Bar & Sparkling & Serene Water Feature! The VIEWS Are Simply Breathtaking In ALL Directions!

4709 E Cheshire Loop Prescott Valley, AZ 86314

$1,104,177
3 Beds
3 Baths
2,734 SqFt
Status Active
MLS # 6710743
Property Type Single Family Residence
Price Type --
This beautiful Capstone Home is MOVE-IN-READY in the master planned community of Jasper. Now includes backyard landscaping and washer, dryer and refrigerator! This home has a traditional elevation that features a 3 car garage on an oversized lot. 2,734 sq ft of single level luxury. 12' ceilings, oversized primary suite, 2 walk-in closets in primary, hardwood flooring throughout main living areas. Oversized pantry, gas fireplace with stone surround and rough sawn mantle. Primary suite bath is stunning.

5548 W Silverdale Road Queen Creek, AZ 85144

$1,100,000
5 Beds
3 Baths
2,720 SqFt
Status Active Under Contract
MLS # 6697389
Property Type Single Family Residence
Price Type --
NEW CUSTOM HOME on 3.3 acres that will include 5 bedrooms, study/office/den, 3 bathrooms, quartz countertops, LVP flooring, designer tile surrounds in bathrooms, N/S exposure, privacy and the most breathtaking views of San Tan Mountains. Bring your horses, bring your friends and enjoy all Silverdale has to offer!

9658 E Flanders Road Mesa, AZ 85207

$1,100,000
5 Beds
4 Baths
3,525 SqFt
Status Active
MLS # 6750120
Property Type Single Family Residence
Price Type --
BRAND NEW Constructionwith NO HOA! Stunning Modern Farmhouse on a 1 ACRE LOT w/ Horse Privileges. 4 Car Side Entry Garage and GUEST LIVING w/ Seperate Entry. Gourmet Kitchen with WOLF APPLIANCES, high-end Cabinets w/ 42'' uppers, White Quartz Countertops, 36'' Cooktop, Built-in Stainless Steel Microwave Drawer and Wood Plank tile Floors. Stunning Master Bathroom with Freestanding Soaking Tub, BEACH ENTRY Modern Glass Shower and Beautiful Double Vanities. Exceptional Energy Efficient - boasting Spray Foam Insulation, Premium Trane 14 seer AC units & High-end Windows. Superior Construction and Craftmanship includes Premium Roofing System, Premium Synthetic Stucco & much more! Close to hiking and horseback riding trails in San Tan Mtns. ESTIMATED COMPLETION DATE Feb/March.

3283 W Mesquite Street Phoenix, AZ 85086

$1,100,000
4 Beds
3.5 Baths
3,038 SqFt
Status Active
MLS # 6700603
Property Type Single Family Residence
Price Type --
Presenting a stunning new construction luxury home by NEXTGEN Builders to be built: This luxurious home features 4 bedrooms plus an office/den, 3.5 bathrooms, and high-quality finishes throughout. The spacious design includes an oversized 2-car garage plus a 46+ foot RV garage with a 12x14-foot tall garage door, set on a large lot without HOA restrictions. Highlights include an oversized contemporary front door, 2x6 exterior framing, a large kitchen island with quartz countertops, and walk-in closets in all bedrooms. The master bathroom offers a spacious entry shower, standalone tub, and double sinks. Other features include 8-foot doors, high ceilings, energy-efficient spray foam insulation, and a post-tension foundation. Choose your options. Please note, photos are of a model home

9834 E Adobe Road Mesa, AZ 85207

$1,100,000
4 Beds
3 Baths
3,631 SqFt
Status Active
MLS # 6762533
Property Type Single Family Residence
Price Type --

917 N 8th Street Phoenix, AZ 85006

$1,100,000
2 Beds
1 Bath
1,465 SqFt
Status Active
MLS # 6741219
Property Type Single Family Residence
Price Type --
Sale includes 917 & 921 N 8th St. 8th & Roosevelt consists of a historic home and additional land for development, located in the heart of the Garfield Historic District. The property sits on approximately a half-acre (gross) of land that is zoned R-5. The seller has a site plan to add (11) 1-bedroom units and (2) 2-bedroom units along with amenity space between the new units and the existing historic home. This would be a perfect small apartment community or short-term rental building in a ''Melrose Place'' type setting in downtown Phoenix. This is a fantastic, bite-sized opportunity for the seasoned investor or a local creative / artistic developer who wants to do a unique, fun project in the heart of one of the busiest, most dynamic, and eclectic areas in the entire Valley. 8th & Roosevelt is an awesome value-add / development opportunity in the heart of Downtown Phoenix. The property is located just east of 7th Street right off of Roosevelt in the heart of the gentrifying Garfield Historic District. Roosevelt and 7th Street is the east entrance to the happening Roosevelt Row district in the epicenter of Downtown Phoenix. It is minutes to the stadium district and a short bike ride / walk to the downtown ASU campus, Phoenix Burton Barr Library, and the Phoenix Art Museum. It is also minutes to Margaret T. Hance Park, which is the location of hundreds of activities including the McDowell Mountain Music Festival and many weekend food / craft festivals throughout the year. It is approximately a half mile to the I-10 Freeway to allow quick and easy access to all parts of the valley. This location is as central is it gets and allows residents to enjoy, with ease, so much of what Downtown and Midtown have to offer. With many dining, shopping, and entertainment options, as well as multiple freeway access points within minutes, 8th & Roosevelt Redevelopment Opportunity will prove to be a great place for residents to live as well as will be a very attractive parcel for a future class-A redevelopment in an A location. Phoenix is consistently on every national list for net influx of people and jobs, and the downtown area is expected to continue to explode with huge job growth in many different sectors; with Arizona State University's downtown campus rapidly expanding (already over 11,000 students and rapidly growing); with massive amounts of biotech investment and development in the area (the new Creighton University is approximately 2 miles away in midtown; the Phoenix Biomedical HUB is a couple blocks away; the stadium district is minutes away; the warehouse district is exploding around the corner to the south; and more). Opportunities like 8th & Roosevelt are rare and offer an investor a great value-add opportunity in one of the most active and desirable areas in the country.

7320 E Sliding Stop Lane Cornville, AZ 86325

$1,100,000
3 Beds
2 Baths
2,258 SqFt
Status Active
MLS # 6732998
Property Type Single Family Residence
Price Type --
If private, cozy and quiet is what you are looking for, look no further. This property is an outdoor enthusiasts dream. Bordering US Forest Service land (no motorized vehicles allowed) gives you the opportunity to hike, bike or trail ride literally right out your back door. This 2258 square foot 3bed/2 bath custom home offers a split floor plan, vaulted ceilings, large windows that allow plenty of natural light and the ability to enjoy the amazing 360 degree views. For the horse lovers there are 3 covered horse stalls, round pen, hot walker, arena and a turnout, For the athlete there is a basketball court, pool table and a hot tub. Property is fully fenced to house all of your furry friends. This is a truly one of a kind property, so come take a look.

7570 E Tuckey Lane Scottsdale, AZ 85250

$1,100,000
2 Beds
2 Baths
1,886 SqFt
Status Active Under Contract
MLS # 6741523
Property Type Single Family Residence
Price Type --
Located in one of Scottsdale's most coveted guard gated communities, 7600 Lincoln, this immaculate single-story Jewel-Box home features 2 bedrooms/2baths with a timeless floor plan. Light filled open kitchen/family/dining room provide functional and comfortable space for easy everyday living. Kitchen boasts ample custom cabinetry, updated granite counter tops, custom lighting, Viking Professional six burner natural gas cooktop, large center island with double sink and breakfast bar. Formal living and dining have a great room feel allowing this space to flexible to suit homeowner's lifestyle needs, modern elegance graces this space with updated fireplace adorned with sleek travertine stone and fire glass. Expansive windows allow natural light and views of the lush well-manicured gardens. Primary Suite is spacious and well-appointed updated primary bath with zero threshold custom shower is one of many thoughtfully designed features to include extended double vanities, and customized closet. Secondary bedroom and updated bathroom are split from primary suite and offer privacy for all. Lovely backyard is perfect for relaxing and entertaining with covered travertine patios, shade screen, built-in stainless steel gas BBQ, and mature landscaping. 2 car garage with built-in storage cabinets. Community features: 24-hour guard gated security, pool, spa, tennis/pickle ball courts, and walking paths. Location is ideal with close convenience to shopping, restaurants, and amenities in Scottsdale and Paradise Valley to include: AJ's Fine Foods, Trader Joes, Flemings, Houston's, Blanco, Paul Martin's, Starbucks, Silverado Golf Course, Ritz Carlton, Scottsdale Fashion Square, and the future shops at the Palmeraie.

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