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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26827 N 68th Street Scottsdale, AZ 85266

$2,200,000
5 Beds
5 Baths
4,383 SqFt
Status Active
MLS # 6640376
Property Type Single Family Residence
Price Type --
CONTEMPORARY TENNIS COURT ESTATE~! Acre+ with guest house. A private paradise awaits you via a long curved driveway. Enjoy your lighted tennis court, sheltered amidst shade trees, mature cacti, flowering shrubs. This masterpiece is built to last with Integra Block, I-Beam & Post Tension Concrete. Dual living floorplan is connected by an upper level view skywalk & overlooks the heart shaped pool. Wood/tile/concrete flooring. All bedrooms have walk-in closets & upper deck access. Cute guest house with mini-kitchen & 3/4 bath. Office, Library wall, Media room, home gym w/shower. Soaring wood ceilings in great room Double Island kitchen w/sleek gray quartz counters, stainless appliances, tall wine cooler, W/I pantry. 2 story exterior metal fireplace. Ramada w/BBQ, pvt Garden. NO HOA FEES~!

10800 E Cactus Road Unit 46 Scottsdale, AZ 85259

$2,200,000
6 Beds
5 Baths
5,059 SqFt
Status Active
MLS # 6725530
Property Type Single Family Residence
Price Type --
HUGE Price Reduction on Great Cactus Corridor home! In exclusive Cactus Gates, Lot 46 sits powerfully perched on one of the subdivision's finest lot locations. Impeccably improved and meticulously maintained, elegance and quality abound in every aspect of this fine home. Currently configured as a 4-Bedroom plus Office and detached Guest House (gym/sports lounge) with 5 full Bathrooms. Wolf/SubZero anchored chef's kitchen with Brookhaven custom cabinets throughout. New Andersen energy efficient windows, water-saving turf, garage cabinets and fresh interior paint (2024). 3+ Car Garage is nearly 1200 SqFt with Tesla EV charger and abundant storage capacity. Privacy is ensured with large natural desert area open space behind the property. Large Sport Court inside RV gate.

3401 N 34th Place Phoenix, AZ 85018

$2,200,000 - 4Br/4Ba -  for Sale in Pomelo Park Annex, Phoenix
Open House
$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!

38646 N 104th Place Scottsdale, AZ 85262

$2,200,000 - 3Br/4Ba -  for Sale in Desert Mountain, Scottsdale
Open House
$2,200,000
3 Beds
3.5 Baths
2,544 SqFt
Status Active
MLS # 6739325
Property Type Townhouse
Price Type --
Golf Membership available & Furnished~Remodeled Hacienda in a fresh ''Cala Lily'' soft white palette with new flooring, countertops, backsplash, primary suite walk-in shower, electrical and new plumbing. This is a GEM as a lock and leave or easy primary residence with less maintenance in mind. Dual generous entertaining patios both covered and uncovered lounge/dining areas featuring an exterior fireplace and BBQ patio showcasing a new bar with more conversation space. Primary suite has been completely redone; elegant white hexagon tile flooring, dual sided zero entry shower with new hardware and 2 walk in closets. Bright farmhouse style kitchen opens to the great room and dedicated dining with a very convenient and civilized service bar. En-Suite casita with kitchenette, sitting area and views of Pinnacle Peak, Tom's Thumb and all the ranges that surround. Please see features sheet in documents tab for a complete list of all updates/upgrades regarding this just finished remodel.

12164 N 120th Way Scottsdale, AZ 85259

$2,199,999
5 Beds
3.5 Baths
3,750 SqFt
Status Active
MLS # 6753467
Property Type Single Family Residence
Price Type --
The best views in the community can be yours! This gated 5 bedroom, 3.5 bathroom custom home is elevated on the most spectacular lot in the cul-de-sac. The stunning vaulted great room features floor to ceiling windows which flood the home with natural daylight. The tongue and groove ceiling feature extends from the great room, outside to your covered patio. Creatively re-designed by artist Bari of Bari J. Designs, these rooms have been featured in local publications including The Spruce and One Room Challenge. Every corner of this house has been thoughtfully designed in its own unique way, from the modern kitchen to the recently updated bathrooms and one of a kind garage. The sprawling backyard captures stunning pink Arizona sunsets, city lights and desert mountains. The cozy, outdoor fire pit and multiple covered patio spaces, make this home perfect for entertaining. With the desert wash behind you, enjoy privacy and uninterrupted panoramic views which may also be appreciated from your rooftop view deck. This home is within one of the most sought after school districts, Mayo Clinic, Lost Dog Wash Trail, restaurants and more. Please see documents tab for Seller Improvements.

3850 E Huber Street Unit 2 Mesa, AZ 85205

$2,199,900
5 Beds
5.5 Baths
4,722 SqFt
Status Active
MLS # 6688996
Property Type Single Family Residence
Price Type --
Brand new custom home by Victoria Homes. Located in a gated community, the home is adjacent to the community amenity area with a tennis/sport court & ramada. The home is farmhouse contemporary design with stone, siding and stucco for exterior accent details. Andersen windows throughout. The home is a great room & open kitchen design with a formal dining room opening to a front patio outdoor space. The large kitchen has gas appliances, huge paneled refrigerator, and bulter's pantry. The primary suite has his/hers closets and decorative tile in the bathroom. Each bedroom has its on in-suite bathroom and walk-in closets. a teen room offers a dedicated space for the kids to play and study. Engineered hardwood floors & decorative tile throughout. FULL landscape with a pool and spa!

10282 N 103rd Place Scottsdale, AZ 85258

$2,199,500
4 Beds
3.5 Baths
4,277 SqFt
Status Active
MLS # 6708188
Property Type Single Family Residence
Price Type --
This exquisite truly one of a kind residence situated on a premium corner lot in the privately gated Lake Serena Estates community. With great views of Camelback Mountain, easy access to the Loop 101, dining, hiking/biking trails, Scottsdale Ranch Park & more. While Scottsdale has its share of waterfront homes with docks and pontoon boats, this home has a pneumatic elevator to the second floor, steel shutters for sun and safety, and a large dog pen. Primary bedroom on the main floor with a jetted tub. Built-in barbecue, 20 foot high ceilings and 8 foot doors. There is no home on the market like it! MUST SEE!!!

8535 E Dog Leg Drive Carefree, AZ 85377

$2,199,400
5 Beds
6 Baths
4,680 SqFt
Status Active
MLS # 6672260
Property Type Single Family Residence
Price Type --
This magnificent home was designed and the residence of the renowned golf course designer Pete Dye, epitomizes the luxury living experience in Carefree. With breathtaking views from every room and a host of premium features, this residence offers both a serene retreat. While this home could certainly make a wonderful primary residence the current owners use as a 2nd home and it's an established and profitable vacation rental with gross monthly revenues from 10K-22K in gross income per month. It's a turnkey business opportunity. PLUS! You will find convenient guest quarters, including a beautiful stone fireplace and a functional kitchenette. Ideal for visitors or as a rental opportunity, this inviting space provides comfort & convenience in a picturesque setting. Enjoy hosting memorable gatherings in the amazing backyard with an open patio & a crystal-clear swimming pool that is great for the summer! What are you waiting for? This gem won't disappoint!

23227 S 180th Street Gilbert, AZ 85298

$2,199,000
3 Beds
2 Baths
2,512 SqFt
Status Active
MLS # 6736051
Property Type Single Family Residence
Price Type --
ALMOST 5 ACRES WITH THIS RARE DOUBLE LOT! Sales Price includes the 2.43 acres of the subject property including home on it as well as the 2.43 acre lot to the North. Got Horses? Newer stables with multiple Pastures connect with the gate. Entry road in the middle makes the perfect grand entrance The stated lot size of 211614 SF is for both lots.

35411 N 50th Street Cave Creek, AZ 85331

$2,199,000
4 Beds
4.5 Baths
5,000 SqFt
Status Active
MLS # 6733910
Property Type Single Family Residence
Price Type --
Custom Santa Fe home on 2.5 acres Horse Property, 4Br, 4.5 Ba, 5000+ sq ft home, 22' ceilings in Living Room/Kitchen with Box Beam ceilings. Slate flooring with wood inlays, bedrooms are carpet. 3 gas fire places, Master shower is an experience. Master bedroom is large. Property has natural gas. 2 laundry rooms, Family room, Den, Granite counter tops, also hand hammered copper counter top on the kitchen bar, 6 burner Kitchen Aid range with a grill, 2 dishwashers, all appliances are Kitchen Aid, home has 8 covered horse pens, riding area, insulated shop, tack barn, RV pad with hook ups, and much more, come view this property.

8040 E Laurel Street Mesa, AZ 85207

$2,199,000
4 Beds
4.5 Baths
4,130 SqFt
Status Active
MLS # 6692475
Property Type Single Family Residence
Price Type --
Newly updated and meticulously manicured 1.3 acre private oasis in Mountain Bridge near top-ranked schools and Las Sendas! Come see this one of a kind, remarkable northeast Mesa gated resort property with a stunning (2024) remodeled interior and perfectly detailed desert-scape acreage with collector cacti and succulents! The spectacular backyard includes nearly 1100 sq.ft. heated (with gas and heat pump) pool and spa, swim-up bar, waterslide, grotto and water-fire features. This incredible backyard also includes professional grade putting and chipping greens, sunken pergola, outdoor kitchen, and impressive LED landscape lighting. There's room for a sport court and RV garage! Inside, you'll be impressed with the newly completed (2024) remodel. The home has a spacious master suite with three additional en-suite bedrooms perfect for hosting or privacy for your own family! The open concept and large chef's kitchen make this an entertainer's dream. An additional highlight is the flex space (featured with four over-sized swivel chairs) inviting the perfect retreat inside the home to watch Arizona's captivating sunsets. This home is part of the Mountain Bridge community, hosting incredible amenities, activities, clubhouse, and grounds. Included with such is an impressive Pickleball community with daily drop-in play, ladies ladder play, live ball, tournaments, and reservable courts for private play. The pickleball community is welcoming and friendly. The clubhouse also includes fitness center with classes, heated pool for lap swimming, water aerobics, and family play. Two spas, tennis, basketball, putting and chipping, greens, playgrounds, and miles of walking paths are also included within the HOA amenities. The community hosts, food trucks, live music, and weekly activities. There's much to see and experience in this northeast Mesa location with easy access to the 202 as well as hiking, fishing, mountain biking, golf courses, Gene Autry tennis and pickleball center, and more! A must see!

7120 N Clearwater Parkway Paradise Valley, AZ 85253

$2,199,000
3 Beds
4.5 Baths
3,204 SqFt
Status Active
MLS # 6617694
Property Type Single Family Residence
Price Type --
Rare offering in coveted Clearwater Hills! Find an unexpected pocket of natural beauty and safety in this mountainous guard-gated community. Clearwater Hills is a refuge from the traffic and sound of city life, where you are more likely to hear a coyote howl than a honking horn - yet it is just minutes from Arcadia and Biltmore restaurants, and less than 20 minutes from Sky Harbor. From the pool, look up at a ring of mountains. From the picture windows in the home, enjoy a view of distant city lights. This location is truly unique, and the home offers so many possibilities. This mid-century home offers 3 bedroom suites - a very spacious master with jetted tub and split shower, and two guest bedrooms with full bathrooms. (Continued in supplement...) Two powder rooms serve the main living areas. The master bedroom has a westward view of Piestewa, sitting area, dual closets, and opens to a balcony room enclosed by sliding doors. This flexible space is currently set up as a gym, but is just as easily used as a conservatory, a workspace or private lounge. This room overlooks a thriving natural wash area. The kitchen is updated with shaker cabinets, beautiful granite and newer appliances, including an induction cooktop and professional range hood. There is a seated peninsula and a kitchen table area. The formal dining area has a southward view which captures city lights at night; it is a dedicated space yet open to the large living area. From the front entry, you can look out on to two living spaces separated by back-to-back brick gas-burning fireplaces. The living areas are spacious with high ceilings and great natural light. The far side of the main living area a nice wet bar area for entertainment purposes, complete with beverage fridges. Large sliding glass doors open out on to a full-length covered veranda from every space along the back of the home, so you never lose view of your beautiful surroundings. Motorized roller shades offer privacy on the north facing windows at night. The powder room in the living area doubles as a pool bathroom as it opens onto the patio. The spacious pool deck is a step down from the home itself, offering privacy to swimmers while still feeling very open. A large pantry, laundry and utility room are right off of the kitchen, leading to the 2 -car garage. A large storage room runs along the back of the garage. The home has a newer roof as of 2019, and new flooring, stucco, & paint as of 2020. More recent upgrades include new HVAC units, new gas tankless water heater, plumbed gas to two fireplaces with remote fire controls, upgraded dishwasher, & new pool pump. While the character and quality of this home are lovely as-is, it would also be a great candidate for expansion or remodel. Buildable lots in the community garner high pricing and and a square footage addition or even a scrape and rebuild would be profitable in this location for a buyer with the right resources. 2nd story views from this location are easy to imagine by standing in the driveway looking out over the home - incredible!

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