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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3500 E Lincoln Drive Unit 22 Phoenix, AZ 85018

$3,250,000
5 Beds
4.5 Baths
4,241 SqFt
Status Active
MLS # 6729102
Property Type Single Family Residence
Price Type --
Welcome to your GUARD GATED serene retreat on over half an acre along the mountainside of Lincoln Hills with city views of the valley! Enter into the open concept floorplan with newer ACs, roof w/ 5 year warranty, water purification system, updated flooring, solid core doors, and updated ceiling fans and light fixtures throughout. Remodeled chef's kitchen with top of the line Sub-Zero fridge, 4 burner gas cooktop plus griddle, all new cabinets/ pull outs, RO system, prep sink, and wine fridge. Luxury primary suite with extended balcony overlooking the mountain and city views. Flex game room designed for indoor/outdoor style living with glass garage doors. Private backyard oasis with multiple private patios, pool, outdoor kitchen with gas BBQ, dishwasher, and fridge. Come take a look today

7330 E Arroyo Seco Road Scottsdale, AZ 85266

$3,250,000
4 Beds
6 Baths
6,460 SqFt
Status Active
MLS # 6609535
Property Type Single Family Residence
Price Type --
This very unique home is located in the Estate Lots at The Boulders. A custom steel gate of desert motif welcomes you into the front courtyard. The massive carved front doors feature a relief of a large multi-branched tree. The living Room has a 2 story ceiling and a beautiful winding stairway to the Family/Game Room with wet bar and bathroom located upstairs. Enjoy the mountain and golf course views from the balcony. The large kitchen opens to a family room with a fireplace, wet bar and entertainment center built-in cabinets. All guest rooms have their own baths. The Master Bedroom is a generous approximate 21 X 21 square feet with a huge walk-in closet. The pool patio area offers total privacy for relaxing or entertaining. The adjacent lot is also available for purchase. includes a boundary and topographic survey, a schematic site plan and schematic floor plan.

9853 W Jj Ranch Road Peoria, AZ 85383

$3,250,000 - 6Br/7Ba -  for Sale in Melton Ranch 2, Peoria
Open House
$3,250,000
6 Beds
6.5 Baths
6,178 SqFt
Status Active
MLS # 6759195
Property Type Single Family Residence
Price Type --
Rare opportunity for this exquisite estate in the luxury community of Melton Ranch. This masterpiece boasts luxury finishes throughout including custom carved cabinetry, Cantera stone finishes, wine cellar, wet bar, theater room, poker/game room or formal dining, casita, gym, full workshop w/bathroom, 2 full Size RV garages, additional parking for 6 cars, outside RV pad, 4 ensuite bedrooms in main house, plus office/bedroom, cooled storage, and entertainer's backyard with pool, spa, firepit, & more. The gated courtyard offers a warm fireplace in the winter and a private sanctuary. Every detail was considered, including a luxury master suite with ample closets, 2-way fireplace, Swedish shower, spa tub and abundant dual closets. Perfect retreat for privacy and luxury RV or car enthusiast. Please see the 3D tour and Additional Features tab. This home is perfect for travelling musicians that have multiple RV's plus trailer & more. Very private and beautifully appointed! Please check out this area of Peoria off of Lake Pleasant Parkway on the 303 loop. Great dining, shopping, and entertainment! Easy commute for RV travelers going to CA or North on the 303.

11776 N 119th Street Scottsdale, AZ 85259

$3,250,000 - 4Br/5Ba -  for Sale in Ancala, Scottsdale
Open House
$3,250,000
4 Beds
4.5 Baths
5,161 SqFt
Status Active
MLS # 6742213
Property Type Single Family Residence
Price Type --
Enjoy the serene golf course and mountain views from this custom home in guard-gated Ancala! No detail has been spared in this magnificent updated home! Enter into the open great room, designed for entertaining with wet bar, fireplace, and butted glass windows showcasing the endless views! New interior/exterior paint, newer AC units, recoated roof, and newer water heater too! White oak floors with 6'' baseboards throughout. Gourmet Chef's kitchen is appointed with double waterfall edge islands, 3 ovens, 6 burner gas stove w/ griddle, and sub zero built-in fridge. Luxury primary suite with fireplace, sitting room overlooking the views, and backyard access. Primary bathroom with dual sinks, leathered quartz, Solano tub, and MORE... floor to ceiling tile surrounds in walk- in shower. Entertainer's backyard oasis with updated pebble tech pool, extended covered patio, electric sun shades, recessed infratech ceiling heater, misters, BBQ, and wood burning fireplace. All overlooking the 15th hole of Ancala Country Club! This home is a true showstopper with too many great details to list. Check out the full features list in docs tab!

3710 E Hazelwood Street Phoenix, AZ 85018

$3,249,000
3 Beds
4 Baths
4,799 SqFt
Status Active
MLS # 6756071
Property Type Single Family Residence
Price Type --
From the moment you turn on to Hazelwood St., you'll be immediately reminded why it is one of Arcadia's most iconic streets. A blend of creative architecture, lush green landscapes, and pride of ownership from neighbors who live active lifestyles is obvious. As you arrive at the curb of 3710 E. Hazelwood, you will be welcomed by shade trees in bloom, combined with eco-friendly, low-maintenance landscape design. As you enter the front door, you will discover the perfect fusion of elegance and modern design in this beautifully appointed Arcadia home. Just inside, you'll notice the large split, open floor plan is warmed with natural light at every corner. The open kitchen is appointed with an abundance of European design, walnut cabinetry, dressed in waterfall Carrara marble countertops, commercial grade 70 refrigerator/freezer, Bosch double dishwashers, GE Monogram double oven, gas range, and speed oven. The sleek, high-top kitchen island welcomes guests to tell stories, laugh, and drink wine while watching the chef/s work their magic. The large living room is adorned with recessed LED mood lighting, a Control4 smart control system, and stunning walnut cabinetry to dress the dining area. The living room takes center stage to the kitchen and backyard, making this home the repeat destination for parties with friends and holiday feasts. The secondary bedrooms are large and equipped with massive amounts of storage. The primary suite is private, secluded, and the perfect place to fall into bed to decompress from the energy of a productive day. The closet is a dream! Floor-to-ceiling shoe wall, deep, floor-to-ceiling custom-designed clothing storage, and your own runway for modeling your outfit before revealing it to the world. The home offers the utmost in versatility and has been uniquely designed to accommodate a variety of living arrangements. The current set up offers two residences, each home has its own entrance and driveway for complete privacy and is perfect for multi-generational living. The main home offers two-bed, two-full bath and one half-bath, and the attached guest house (ADU) has one-bed, one-full bath, one-half bath, plus a full kitchen and expansive living and dining area. With an extremely simple modification, the home can also be a traditional four-bed, split plan. The home has so many options, including a two-unit luxury rental or an alternative would be to live in one home and lease the other, with the most obvious being a spectacular contemporary masterpiece in the perfect location with flawless design. The backyard is a private oasis with a large low-maintenance turf area for playing catch with the kids, fetching with the pup, or just lounging with friends over an evening cocktail. Brand new pebble sheen pool and hot tub make it an automatic yes when inviting friends. An enormous extended two-car plus garage that allows for any car, truck, or SUV, with an EV charging station and leftover room for bikes, toys, or workout gear. You'll never want to leave home, but if you do, a short walk to LGO, North Italia, Ingo's Tasty Food, Sushiholic, Chelseas's Kitchen, create the definition of convenient living. One visit and you'll want to call it home.

35203 W Indian School Road Tonopah, AZ 85354

$3,240,000
3 Beds
2 Baths
5,760 SqFt
Status Active
MLS # 6742751
Property Type Single Family Residence
Price Type --
Lot 1,2,3,and 5 are a total of 37.83 level acres of land being split from 504-10-003-B with a 3 bedrooms and 2 bathroom home, private well and room to expand! There is a large enclosed hall that can be used for gatherings, storage and more. The covered storage area offers its own possibilities for an income producing venue with the start of 9 individual rooms and three bathrooms along with one large central space that could be a centralized kitchen or living space. Private well and three separate septic tanks make the possibilities of this property endless! Near the future Belmont Master Planned Community and soon to break ground Desert Studios. 20 min to Buckeye Equestrian Center, 35 min to Wickenburg, Stone's throw from Teravalis, Desert Whisper, Tartesso etc. Easy access to Interstate I-10, MC-85, Loop 202 & 303. Close to the proposed I-11 freeway, connecting Arizona, Nevada & California. Early-stage planning efforts for I-11 to become a trade route connecting Canada & Mexico. Providing Arizona with access to regional & international markets, jobs & economic growth. Possible seller carry back with large down payment. You won't want to miss out on this property and all that it offers!

5434 E Lincoln Drive Unit 34 Paradise Valley, AZ 85253

$3,217,000
3 Beds
3.5 Baths
3,218 SqFt
Status Active
MLS # 6759618
Property Type Single Family Residence
Price Type --
This newly built lock and leave in the 24/7 guard gated community of Colonia Miramonte at the JW Marriott Camelback Inn offers 3 bedrooms, 3.5 bathrooms, a separate office, and an open concept floor plan, great for entertaining. This quintessential neighborhood where very few homes come available, offers stunning views of Camelback and Mummy Mountain, all in the exclusively located town of Paradise Valley. The stunning kitchen features brand new appliances, leathered waterfall edge countertops, and great storage throughout, as well as a large walk-in pantry! This single level, split floor plan offers 2 full ensuites on one end and the spacious primary suite on the other with a gorgeous bathroom, walk-in closet and private patio. Within walking distance to the historic Camelback Inn and El Chorro, this exceptional location and home cannot be beat!

875 Rim Drive Pinedale, AZ 85934

$3,200,000
16 Beds
8.5 Baths
10,823 SqFt
Status Active
MLS # 6732458
Property Type Single Family Residence
Price Type --
Once in a lifetime opportunity! Located in the White Mountains and surrounded by USFS property, this 60-acre property has everything you are looking for. Adorned with mature ponderosa pines, fruit trees, pastures, and Pinedale Wash running through. Currently used as a Family retreat, there are many possibilities from company retreat, dude ranch, rentals, and much more. The property has been well cared for over the years and has many upgrades. The picturesque views from every home, lawns, playground, fire pit, are just a few of the things you'll fall in love with. With 4 separate houses, one of which is duplex, there's plenty of room for everyone. The main house has 5 bedrooms and 3 baths with an open floor plan. The large living room is great for gatherings and the kitchen is perfect for entertaining and making memories with friends and family. The Guest house has 4 bedrooms, 2 baths, and an extra-large kitchen and great room: a perfect place for family gatherings. The Caretaker's home and the duplex add an additional 7 bedrooms and 3.5 baths. In addition, there is also a 2200 square foot stable with a fenced in corral. Pastures are fenced in to allow for grazing, and a variety of equipment is available. The private well provides plenty of fresh water for all the homes and additional water lines running through the property.

1575 S 155th Street Gilbert, AZ 85296

$3,200,000 - 5Br/7Ba -  for Sale in Ray Road & 154th Place, Gilbert
Open House
$3,200,000
5 Beds
7 Baths
5,667 SqFt
Status Active
MLS # 6754626
Property Type Single Family Residence
Price Type --
Luxurious newly built & professionally designed masterpiece! This stunning home offers 5 generously sized bedrooms & 7 exquisite bathrooms, including a unique 5th bedroom w/ a private outside entrance, perfect for guests/extended family. The state-of-the-art kitchen is a culinary dream, featuring top-of-the-line Wolf & Sub-Zero appliances, complemented by elegant finishes & ample counter space. A dedicated teen room adds versatility, while foam insulation ensures exceptional energy efficiency. Step outside to your own private oasis, complete w/ two sophisticated firepits, a sprawling pool & a rejuvenating spa. The meticulously landscaped front & back yards create a seamless blend of beauty & functionality. Located near major roads & highways, this home offers easy access to key amenities. Enjoy proximity to vibrant downtown Gilbert, renowned for its dining, shopping & entertainment options. Additionally, nearby facilities include top-rated schools, scenic parks & recreational areas. This residence combines opulence w/ convenience, making it the ultimate retreat for both entertaining & relaxing.

25505 N 114th Street Scottsdale, AZ 85255

$3,200,000
4 Beds
4.5 Baths
4,113 SqFt
Status Active
MLS # 6565469
Property Type Single Family Residence
Price Type --
New custom coming in Troon Mountain Estates! This gorgeous, soft contemporary home to-be-built has approximately 4113 square feet, 4 bedrooms, 4.5 baths, including a 679 square foot one bedroom/one bath separate casita, plus an open kitchen with butler's pantry, a great room, game room/den and walls of glass overlooking spectacular views of the McDowells, 4 Peaks and city lights from the top of a 20,000+ sf lot in gated Troon Mountain Estates. The main house is all on one level/no stairs, including the 3 car garage, except for steps down to the casita, infinity pool and spa.

5593 E Edward Lane Paradise Valley, AZ 85253

$3,200,000
3 Beds
3.5 Baths
3,620 SqFt
Status Active
MLS # 6755781
Property Type Apartment
Price Type --
Camelback View. Enjoy resort living w/ full amenities at adjacent Mountain Shadows resort combined with distinct architectural designs. Enjoy views from 800+ sq. ft. outdoor deck. This Villa has 20 ft. high entry foyer with private elevator/stairs to living level. Luxurious designer features include, Wolf combo dual fuel range oven and microwave, Sub Zero refrigerator, Asko dishwasher, Zephyr hood,10 ft. high ceilings, 9 ft. bi-fold doors to deck, 9 ft. bi-fold from primary suite to deck, indoor/outdoor fireplaces, Savant smart home, lutron lighting, motorized shades, surround sound, 24 hr guarded entry, & more! Includes membership in Citizen's Club at Mountain Shadows - fitness center, classes, signing privileges, golf, discounts on all retail services, including food, rooms, golf.

26782 N Donna Place San Tan Valley, AZ 85144

$3,200,000
3 Beds
2 Baths
2,577 SqFt
Status Active
MLS # 6679447
Property Type Single Family Residence
Price Type --
Some properties have to be seen to be believed. Welcome to The Arthouse, the Valley's best kept secret. Having operated as a luxury destination wedding venue in recent years, this home presents an exceedingly rare opportunity to enjoy modern living among natural, undisturbed desert. Winding desert roads scattered with saguaro cacti and picturesque mountain views lead you through San Tan Mountain Regional Park, to a property where peace, calm and serenity envelop all who enter. At this one-of-a-kind retreat, the current stewards have lovingly and carefully crafted every inch of this property's 3.3+ acres to maximize desert dwelling in a secluded setting surrounded by untouched state park land - offering privacy that no other property in the Phoenix metro area can come close to. Each evening, painted skies abound for you to enjoy sunset from the wraparound deck - this property has been designed for those who simply cannot compromise on the joys of outdoor living. The interior of the home is the ideal blend of comfort and cozy with a South Western twist. Prepare meals in the gourmet kitchen - complete with butcher block island, modern cabinetry and farmhouse-style sink. The exclusive owner's retreat will rejuvenate your soul - gas fireplace and soaking tub. In addition to the main home, don't miss the separate suite plumbed for a bathroom with it's own private entrance, which has in recent history served as a bridal suite. You will not find a home that soothes you in a way that The Arthouse does, while offering all the indulgences of modern living.

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