What’s Ahead For Mortgage Rates This Week – September 6, 2016

Last week’s economic reports included readings on pending home sales, construction spending and consumer sentiment. Case-Shiller Home Price Indices for June were released, along with several labor-related reports including national unemployment, ADP Payrolls and Non-Farm Payrolls were also released along with weekly readings on new jobless claims and Freddie Mac’s survey of average mortgage rates.

Case-Shiller: Home Price Growth Holds Steady in June

According to the Case-Shiller 20-City Home Price Index for June, average national home prices held steady with a seasonally adjusted annual growth rate of 5.10 percent in June. The top three cities for home price growth were Portland, Oregon with a reading of 12.60 percent; Seattle, Washington followed with a reading of 11.00 percent. Denver, Colorado home prices grew by 9.20 percent year-over-year.

San Francisco, California, which had posted highest year-over-year price gains in recent months slipped with a reading of 6.40 percent year-over-year in June. This could signify a cooling of rapid price gains in high demand metro areas where home prices have become unaffordable for many buyers.

Construction Spending Flat in July, Pending Home Sales Increase

While builder sentiment has been strong, construction spending was flat in July as compared to an expected reading of 0.60 percent and June’s reading of an 0.90 percent increase in construction spending. The Commerce Department reported that pending home sales increased 1.30 percent in July, which exceeded expectations of 0.90 percent growth and June’s negative reading of -0.80 percent. July’s reading appeared to even out June’s unexpected slump in pending sales, which are considered an indicator for future closings and home loan volume.

Mortgage Rates, New Jobless Claims Rise

Mortgage rates rose for all three loan types reported by Freddie Mac. The rate for a 30-year mortgage rate rose three basis points to 3.46 percent; the average rate for a 15-year mortgage also rose three basis points to 2.77 percent. The average rate for a 5/1 adjustable rate mortgage jumped by eight basis points to 2.83 percent. Discount points averaged 0.50 percent, 0.50 percent and 0.40 percent respectively. Mortgage rates rose after the yield on 10-year Treasury Notes increased in response to a speech given by Fed Chair Janet Yellen that indicated that the target federal funds rate could be raised in December.

263,000 new jobless claims were filed as compared to expectations of 265,000 new claims and the prior week’s reading of 261,000 new claims. Job growth slowed in August; the Commerce Department reported a reading of 151,000 new jobs in its Non-Farm Payrolls report. Analysts expected 170,000 new jobs, which fell significantly short of July’s reading of 275,000 jobs created. Non-Farm Payrolls includes data for public and private sector jobs.

Labor Reports: Job Growth Slows, National Unemployment Holds Steady

ADP Payrolls also reported fewer private sector jobs created in August with a reading of 177,000 new jobs as compared to 194,000 private sector jobs created in July. Analysts characterized August jobs reports as “fickle” due to high numbers of summer vacations and company-wide summer holiday closures.

August’s reading for national unemployment held steady at 4.90 percent.

While slower growth in home prices and job creation could signal an economic slowdown, there was good news as consumer confidence rose to 101.7 in August; this reading surpassed the expected reading of 97.0 and July’s reading of 96.7.

What’s Ahead

This week’s scheduled economic news is lean due to the Labor Day holiday on Monday. In addition to weekly reports on new jobless claims and mortgage rates, reports on job openings and the Federal Reserve’s Beige Book report will be released.

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29561 N Varnum Road San Tan Valley, AZ 85143

$1,199,000
4 Beds
3 Baths
3,025 SqFt
Status Active Under Contract
MLS # 6725499
Property Type Single Family Residence
Price Type --
Look no further, this home has it ALL...4.55 Acres with Horse Privileges, Corner Lot, Mountain Views, 20' x 50' RV Garage piped for propane 500 gallon underground tank (owned), fenced in 14' x 28' Private Play Pool and Spa (UV lighting and ozone injectors for easy maintenance), 1100 square feet of hardscape pavers, backyard Gazebo and rectangular Built-in propane Fire Pit! I'd say, tranquility at its best! This remarkable modern farmhouse has 4 bedrooms, 3 baths with beautiful upgrades throughout including staggered kitchen cabinets, granite countertops, granite island with built in cabinets, energy efficient stainless-steel appliances and a walk-in pantry! The list is endless...it's breathtaking and a must see. Shipping container on property conveys. Call today for your private tour.

745 Crosscreek Drive Prescott, AZ 86303

$1,199,000
4 Beds
3 Baths
3,184 SqFt
Status Active Under Contract
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.

6782 W Skylark Drive Glendale, AZ 85308

$1,199,000 - 5Br/3Ba -  for Sale in Sabino, Glendale
Open House
$1,199,000
5 Beds
3 Baths
3,325 SqFt
Status Active
MLS # 6711318
Property Type Single Family Residence
Price Type --
Looking for a beautiful home on the the lake with its own dock? Welcome to this 5 beds, 3 baths, upstairs loft/office, Pool / Spa home in Sabino/Arrowhead lakes area. Gorgeously remodel really checks all the boxes. Chef's kitchen with Quarts countertops, farmhouse sink, stainless steel Bosch appliances. New Vinyl flooring throughout the house. Gas fireplace, New wooden shutter in all the right places, New paint, New lighting and bath fixtures. 2 bedrooms with 1 bath downstairs. Great sized owner's suite comes with customized bay window bench to enjoy the breath-taking lake view, his/hers closets, walk-in tiled shower, and freestanding bathtub. Close to freeways, dinning, shopping, schools, etc. Come take a look today.

3310 Ten Bears Circle Wickenburg, AZ 85390

$1,199,000 - 2Br/3Ba -  for Sale in Wickenburg Ranch, Wickenburg
Open House
$1,199,000
2 Beds
2.5 Baths
2,199 SqFt
Status Active
MLS # 6772649
Property Type Single Family Residence
Price Type --
Breathtaking Mountain Views! Nestled in one of the highest areas of the sought-after Caballero neighborhood, this Shea built 2-bedroom, 2-bath home boasts 2,120 sq. ft. of thoughtfully designed living space. With stunning views of the Weaver and Bradshaw Mountains, enjoy expansive sliding glass walls that seamlessly blend indoor and outdoor living. The primary suite offers a private patio and an indulgent custom spa bath. Relax in your travertine-surrounded, heated pool and elevated spa, fire-pit all overlooking serene desert vistas. This home features a cozy fireplace in the den/media room, an alkaline drinking water system, and backs to common space with an HOA-maintained landscape and walking path. Experience elevated living with privacy, luxury, and unbeatable views at every turn!

5336 E Cactus Road Scottsdale, AZ 85254

$1,199,000 - 4Br/4Ba -  for Sale in Sunburst Farms East, Scottsdale
Open House
$1,199,000
4 Beds
4 Baths
2,368 SqFt
Status Active
MLS # 6763166
Property Type Single Family Residence
Price Type --
ALMOST AN ACRE IN LUSH SUNBURST FARMS. Located on a sheltered service road, this is a classic tri-level home with convenient short stairways. Updates include Corian countertops, stone tile and bamboo flooring, island kitchen, black and stainless appliances, pantry, big laundry room, brick fireplace, French doors, stainless bath fixtures, tiled showers, view balcony and second primary with private exit. Monthly irrigation keeps everything green. Pines in front and grass in back. Incredible 46' x 31' block and frame garage/workshop. Empty pool with protective cover. Great location just minutes from everything.

3837 N 43rd Street Phoenix, AZ 85018

$1,198,900 - 3Br/2Ba -  for Sale in Long Manor, Phoenix
Open House
$1,198,900
3 Beds
2 Baths
2,010 SqFt
Status Active
MLS # 6739682
Property Type Single Family Residence
Price Type --
This spectacular fully remodeled property (2024) in Arcadia Lite has upscale finishes, an insulated 4-car garage, new HVAC units, versatile outdoor spaces, an oversized lot, and a highly desirable floor-plan. Step inside this organic-modern home filled with natural earth tones and fresh modern elements. The light and airy interior with timeless materials is perfect for entertaining, coupled with a relaxing front AND backyard patio. Pool plans for the yard have been drafted by professionals and are available. The custom-designed kitchen features high-end appliances and fixtures, under cabinet lighting, lots of storage, and a unique wine storage space off the dining area. The gorgeous laundry/pantry room has ample storage, a sink, and quartz countertops. The spectacular primary bathroom has all the right design traits for maximum relaxation and restoration. Out in the spacious backyard you'll find a secluded greenery space including a Hong Kong orchid and citrus, a custom built outdoor kitchen, and a blank slate backyard ready for your touch. A big highlight of the property is the detached 900sf garage that could be converted into a casita or ADU. This is truly a one of a kind property with features you won't find in similar priced homes. PAID OFF solar!

16912 E Desert Vista Trail Rio Verde, AZ 85263

$1,197,000
4 Beds
4.5 Baths
4,200 SqFt
Status Active
MLS # 6753799
Property Type Single Family Residence
Price Type --
The steel & glass double-door entrance leads to a gorgeous interior featuring a formal dining room with wood floors, wine closet with wrought iron & glass door, butlers pantry with wine refrigerator, great room with gas fireplace, & French doors leading to a covered patio. Archways throughout, recessed lighting, travertine floors, solid arched 8 ft. wood doors, 12 ft. ceilings, crown molding & 6 inch baseboards. The chef's kitchen is open to the great room, with double breakfast bars, fully equipped SS appliances, six burner Viking gas stove with pot filler, microwave, double ovens, GE Monagram side by side frig, granite countertops, plenty of cabinet space, a tile backsplash, huge walkin pantry, built-in desk, & large center island with sink and chandelier.

2508 S 200th Avenue Buckeye, AZ 85326

$1,197,000
4 Beds
4.5 Baths
4,163 SqFt
Status Active
MLS # 6772275
Property Type Single Family Residence
Price Type --
This stunning home offers 4,163 SQFT of spacious living, featuring a 1,000 SQFT garage equipped with Gladiator cabinets, 4 bedrooms with walk-in showers and closets, 4.5 bathrooms in total. The split floor plan includes a teen area and one of the bedrooms is a semi-mother-in-law suite with it's own entrance. Enjoy an open-concept gourmet kitchen with waterfall kitchen island, a wet bar, and a relaxing primary bedroom retreat, along with inviting outdoor living space. Situated on one acre of irrigated horse property with no HOA, shared well, and just minutes from I-10. Revel in mountain views, beautiful sunsets, and tranquility of the country life. Surrounded by custom site-built homes. Don't miss out on this exceptional opportunity.

12295 N Lopez Wells Lane Marana, AZ 85658

$1,195,000
3 Beds
2 Baths
2,614 SqFt
Status Active
MLS # 6753591
Property Type Single Family Residence
Price Type --
Rarely available, this luxurious Bisbee Floorplan by Insight Homes is fully complete and ready for delivery! Special appointments include a full side extension of 2 additional feet adding space to the guest bedrooms and bath, a fully extended 3 car garage, GE Monogram Appliance package with a 48'' refrigerator, Expanded back yard with plenty of room for a pool and much more.

29647 N Kinder Crossing Pass Rio Verde, AZ 85263

$1,195,000
3 Beds
2 Baths
1,948 SqFt
Status Active
MLS # 6766808
Property Type Single Family Residence
Price Type --
IMAGINE starting your day with the VIEWS of the morning sun rising over the FOUR PEAKS and enjoying brilliant SUNSETS from your own PRIVATE POOL!! This elegant home is perfectly located in the prestigious Trilogy at Verde River on the premium homesite with MAJESTIC VIEWS of the Four Peaks that WILL TAKE YOUR BREATH AWAY! This highly sought after 3 BEDROOM Nice floor plan includes a Two Car AND a separate GOLF CART GARAGE and luxurious upgrades throughout. This stunning home is thoughtfully laid out and boasts a Great Room open concept and countless upgrades throughout. Beautiful design elements are apparent from the moment you arrive and not a detail has been overlooked either inside or out. The stylish kitchen is loaded with Stainless Steel GE Monogram Gourmet Applia nce Package, stunning white cabinets with soft close drawers, decorative Pearl Glass tile backsplash, Quartz Island with single bowl kitchen sink and Restaurant Style arbor bronze faucet, leaves absolutely nothing to be desired. Home has walk-in Pantry, Smart Space with laundry area, built in desks and tons of cabinet storage. Master suite is generously sized and offers a walk-in closet, double sinks, and a walk-in shower. Upgraded wood look tile flooring, Custom Hunter Douglas Window coverings throughout the whole home, exterior shade screens, Full Home Water Filtration System, Reverse Osmosis Drinking Water System, Custom surround sound in the living room, outdoor patio speakers and pool wall speakers, extra insulation between the dining room and master bedroom and in both the two car garage and golf cart garage, upgraded 250 gallon propane tank, garage service door, custom paint, Custom Landscaping and custom gutters around the entire home are just some of the notable upgrades. The Great room opens to an outdoor living room with a WALL of GLASS for optimal Arizona indoor-outdoor living where many great moments at home are spent outside. Custom Pool built by Presidential Pools has Baja shelf and in pool pop up cleaning system. Built in BBQ unit is a top-of-the-line Sedona L600 36 with Pro Sear feature! Resort living at its finest - enjoy breakfast on the patio, glass of wine under the covered patio and all the amenities that Trilogy has to offer! This home is STUNNING - Inside and Out! Trilogy at Verde River offers upscale Resort living at its finest and the very best of all possible worlds, close to the conveniences of affluent North Scottsdale, yet secreted within the pristine privacy of the Sonoran Desert. The amenities are World Class with Tom Lehman inspired eighteen-hole Golf course, tennis courts, pickle ball courts, and bocce ball, heated lap pool and Resort style swimming pool, hot tub, Afterburn fitness center, Helen's demonstration Kitchen for cooking classes and a 7.5 acre dog park. The community center has casual poolside dining at Eddy's Diner and gourmet dining at award-winning Needle Rock Kitchen and Tap, Alvea Spa with full-service Salon and Spa amenities, Art Loft and events center. Trilogy at Verde River is adjacent to the Tonto National Forest and is situated in the middle of miles and miles of hiking and biking trails. Whether you're seeking a second, winter home, or will live here year-round, Trilogy at Verde River is an ideal distance from the hustle and bustle of North Scottsdale. Attitudes here are different; there's a sense of community. You'll love the Resort living! What memories will you make?

9412 N 33rd Way Phoenix, AZ 85028

$1,195,000
3 Beds
2 Baths
2,950 SqFt
Status Active
MLS # 6777491
Property Type Single Family Residence
Price Type --
Beautifully renovated and completely modernized with stunning quartz countertops, showcase cabinetry and flooring! Custom 3-bedroom home plus office, 2 bath, 2950 square foot, Recently updated property in a highly sought after neighborhood with mountain views and access to hiking trails! Luxurious flooring, modern canned lighting throughout and new ceiling fans everywhere. Kitchen boasts new cabinets, quartz countertops, new stainless-steel appliances, new fixtures. Bathrooms have been reconfigured and finished with stunning porcelain tile and new fixtures. Large primary suite has slider for access to backyard, huge walk-in closet, walk in shower. No HOA! Attached 2-car garage, RV gate and parking, RV waste receptacle and charging port. Plenty of space for an addtl garage. Covered patio opens to private diving pool and paver patio for entertaining. New custom interior & exterior painting. Walking distance to the Dreamy Draw trailhead of the Phoenix Mountain Preserve, quiet neighborhood! Easy access to the 51 freeway, Sky Harbor Airport, shopping & entertainment. See this property today!

1331 W State Avenue Phoenix, AZ 85021

$1,195,000
5 Beds
4 Baths
3,065 SqFt
Status Active
MLS # 6747201
Property Type Single Family Residence
Price Type --
2024 NEW CONSTRUCTION by Richter Homes. Choose your upgrades and MOVE-IN WITHIN 60 DAYS. Home is ready for your finishing touches including kitchen and bathroom cabinetry, counter tops, appliance package, closet systems, fireplace finish, lighting, and backyard landscaping. This is the LAST HOME AVAILABLE in Lexia Manor, a North Central community of five single family luxury residences. The home has 5 bedrooms, 4 bathrooms and offers 3,065 SqFt of luxurious living space. Oak engineered wood throughout, black window/door package, and clean white walls. One large bedroom downstairs perfect for a guest room or office. Also a full bathroom downstairs. All other spacious bedrooms located upstairs including the large primary suite. Located close to some of Phoenix's favorite local hangouts.

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