What’s Ahead For Mortgage Rates This Week – May 23, 2016

You Ask, We Answer: 5 Ways That You Can Proactively Build and Improve Your Credit ScoreLast week’s economic news included the NAHB Housing Market Index, reports on housing starts, building reports and existing home sales. Minutes of the Federal Reserve’s last FOMC meeting were also released.

Homebuilder Confidence Unchanged, Housing Starts and Building Permits Increase

The National Association of Home Builders (NAHB) reported that builder confidence held steady with a reading of 58 in May. Analysts projected a reading of 58 and April’s reading was also 58. Builder confidence in market conditions could be slowing due to concerns over acquiring skilled labor and a shortage of developed lots. Demand for homes remains high, but a slim inventory of available properties and builder emphasis on higher-priced homes contributed to sidelining moderate income and first-time buyers.

Commerce Department reports for April Housing Starts and Building Permits issued suggest that tight housing inventories may receive some relief. April housing starts rose from a revised March reading of 1.099 million to 1.170 million starts. Housing starts increased by 6.60 percent in April. Housing starts have slowed as compared to the year-over-year period from April 2015 to 2016; housing starts increased by 10 percent for the same year-over-year period in 2015. While any increase in home construction is welcome, some analysts said that they did not expect a huge increase in home construction in coming months.

Construction of multifamily housing units rose by 10.70 percent, while single-family home construction increased by 3.30 percent. Rising rents and millennials delaying home purchases were seen as fueling multifamily home construction. As homes become less affordable, would-be buyers are continuing to rent, which places higher demand on rental units.

Pre-owned Home Sales Rise in April

Sales of previously owned homes rose by 1.70 percent in April to a seasonally-adjusted annual rate of 5.45 million sales. Sales increased by 12.10 percent in the Midwest, where homes are most affordable, and fell by 1.70 percent in the West, where homes are most costly. This development suggests that rapidly rising home prices have or will soon reach maximum levels in high-cost areas. Home prices in many areas rose rapidly in preceding months as short inventory and high demand created bidding wars and keen competition for available homes. A lack of affordable single family homes has caused some buyers to buy condos while others have put buying on hold.

Mortgage Rates Rise, New Jobless Claims Fall

Mortgage rates rose for 30-year fixed rate mortgages rose by one basis point to 3.58 percent; the average rate for a 15-year fixed rate mortgage was unchanged at 2.82 percent and the average rate for a 5/1 adjustable rate mortgage rose by two basis points to 2.80 percent. Discount points were 0.60, 0.50 and 0.50 percent respectively. Analysts are watching the Fed closely for any indication that it will raise the target federal funds rate in June, although concerns over the possibility of Great Britain leaving the European Union could cause the Fed to hold off on raising the rate. If the Fed raises the target federal funds rate, loan rates for credit cards and mortgages would also increase.

New jobless claims fell last week to 278,000 new claims against expectations of 279,000 new claims and the prior week’s reading of 294,000 new claims. Analysts said that a telecommunications strike caused the prior week’s raise in claims as striking workers who are replaced during a strike are eligible for jobless benefits.

What’s Ahead

This week’s scheduled economic releases include new and pending home sales along with weekly reports on mortgage rates and new jobless claims.

6109 E Maverick Road Paradise Valley, AZ 85253

$18,495,000
6 Beds
8 Baths
11,965 SqFt
Status Active
MLS # 6648639
Property Type Single Family Residence
Price Type --
Nova is the first of 9 showcase homes in the exclusive neighborhood of Silver Sky set to begin construction Spring 2024. This 11,965 sq/ft, 5-car garage estate emerges from the gifted hands of architect Stratton Andrews. A Nova describes a celestial phenomenon where a star bursts into brilliance, illuminating the night sky with newfound radiance. This award-winning home was named as a testament to Stratton Andrew's meteoric rise in the world of architecture. Having already won Best in American Living 2023, this estate blends classic European charm with modern design and luxury. The privately gated entrance opens to an expansive courtyard providing a full view of this captivating estate. Boasting floor-to-ceiling Euroline steel windows with thin sightlines and a natural stone façade placed this home exudes a classic European charm. The outdoor oasis wraps into the backyard showcasing a resort-like pool and spa, outdoor kitchen, and lush landscaping designed by Jeff Berghoff, this stunning estate even includes a standard-size pickleball court. The interiors maintain a timeless approach using soft, natural stone and wood tones while tying in cutting-edge technology and modern features. The 10,980 sq/ft main home and 985 sq/ft separate guest house have been completely designed by Holly Wright Designs. To be constructed with all steel framing and appointed with only the highest of finishes the builder is sparing no expense. Features include Wolf Sub-Zero appliances, waterwork fixtures, wide-width European white-oak wood flooring, along with detailed millwork and stone throughout the home. Every detail has been planned with the lighting specifications and elements designed by award-winning designer Walter Spitz. Nestled among 11 other brand new, award-winning estates, including 3 custom builds and 8 Showcase homes, Nova is part of the exclusive Silver Sky community. A community consisting of privately gated, single level homes with a minimum of 6500 sq/ft. ensuring endless views, privacy, and the unparalleled size and sophistication of a luxury new community. Experience what you have earned and join an exclusive group of discerning buyers that cherish the finer things in life.

20567 N 112th Street Scottsdale, AZ 85255

$18,250,000
6 Beds
8.5 Baths
13,272 SqFt
Status Active
MLS # 6612852
Property Type Single Family Residence
Price Type --
Transfer of a SILVERLEAF GOLF MEMBERSHIP available. Nestled within the prestigious Silverleaf community's Upper Canyon, this magnificent Mediterranean Estate is a testament to extraordinary craftsmanship and design. Spanning an impressive 13,272 square feet, this residence offers unrivaled vistas of the cityscape, mesmerizing sunsets, and the majestic mountains of Scottsdale, Arizona. Crafted through a seamless collaboration between the visionary Mark Candelaria of Candelaria Design, the master builder John Schultz of Schultz Development, and the renowned interior designer Isabel Dellinger Candelaria of Earth and Images, this home radiates elegance at every turn. The result is a sophisticated sanctuary, decorated with the finest luxury finishes and meticulous attention to detail. The thoughtfully designed great room floor plan provides a harmonious flow, separating the principal suite from the guest wing of the home with a private entrance hosts five generously appointed en-suite guest rooms, each boasting king-sized accommodations. This layout offers both privacy and comfort for residents and guests alike. Step outside to discover a breathtaking outdoor oasis, featuring a captivating negative edge pool, a generous spa for ultimate relaxation, and multiple inviting seating areas set amidst flawlessly manicured gardens. This al fresco retreat is an idyllic backdrop for intimate gatherings or grand-scale entertaining. Embodying the pinnacle of architectural excellence in the esteemed Silverleaf community, this Mediterranean Estate offers an unparalleled lifestyle of luxuriousness, elevated by its breathtaking natural surroundings. This is a residence that redefines luxury living in Scottsdale, Arizona.

7256 N 40th Street Paradise Valley, AZ 85253

$17,800,000
5 Beds
6 Baths
10,170 SqFt
Status Active
MLS # 6642559
Property Type Single Family Residence
Price Type --
Crown Canyon presents Amber, a Swaback Architects masterpiece to be built by BedBrock Developers. Nestled into the canyon while spanning a desert wash, this home embraces adjacent boulder formations of the canyon with significant views of Camelback Mountain from the heart of the home. Saguaro soldiers welcome you to this one-of-a-kind home that draws its inspiration from the surrounding natural mountain preserve. Dramatic rooflines frame this modern glass and steel estate with 3 masterful floating glass bridges connecting the master suite. Oversized windows and pocket doors throughout the estate showcase the pristine desert surroundings while maximizing the indoor-outdoor living experience. We welcome you to experience the timeless luxury and privacy that the Amber estate has to offer.

5815 N Palo Cristi Road Paradise Valley, AZ 85253

$17,160,000
6 Beds
6.5 Baths
8,800 SqFt
Status Active
MLS # 6525448
Property Type Single Family Residence
Price Type --
NOW UNDER CONSTRUCTION Staring at Camelback this sensational lot is the site of a 6 bedroom 12546 sq ft new home built by Cullum Homes, incredible interior design by Ownby Design. Landscape and water features by Desert Foothills. This is a WOW. Transitional luxury accommodations included during build. May also be sold with adjoining parcel(s) at 5835 N Palo Cristi and 3627 E Bethany Home.

5625 N Wilkinson Road Paradise Valley, AZ 85253

$16,988,888
7 Beds
7.5 Baths
9,470 SqFt
Status Active
MLS # 6679929
Property Type Single Family Residence
Price Type --
Welcome to the ultimate sanctuary, the Wilkinson Estate. Crafted by Patterson Homes & Grey Collective, this 1.2-acre ultra-private estate features a stunning transitional design. The main residence features 5 sophisticated beds & 5.5 baths, complimented by a detached 2-bed 2-bath casita. The grand living area opens to a resort-like backyard, featuring a lavish outdoor kitchen, pool cabana, & bocce ball court, with expansive covered patios. Inside, the bespoke kitchen is equipped with Miele appliances & elegant Shinnoki cabinetry. Spa-like bathrooms offer a tranquil escape, enhancing the serene ambiance of the home. Elevating the luxury, a state-of-the-art home theater provides an unparalleled cinematic experience, & full home Control-4 automation ensures comfort at the touch of a button.

6123 E Ironwood Drive Paradise Valley, AZ 85253

$16,495,000
4 Beds
6 Baths
9,444 SqFt
Status Active
MLS # 6648642
Property Type Single Family Residence
Price Type --
Coming to life at the base of Mummy Mountain, Silver Sky presents ''Aquarius,'' a remarkable steel-framed 9,444 sqft estate designed by Drewett Works, set to begin construction in Spring 2024. Inspired by the tranquility of resort-style coastal towns, Aquarius is named for its captivating water features. Expansive floor-to-ceiling European glass doors that pocket into the walls, completely open the living spaces to a central zero-edge pool and spa that move under roof creating an oasis within this estate. This privately gated 1.32-acre estate boasts oak wood flooring throughout and a continuous entertaining space across the kitchen, dining, and living that connects directly to the intimate courtyard entrance. The entertainers kitchen is equipped with Wolf and Subzero appliances with a large back chef's kitchen featuring dornbracht fixtures and Wolf appliances. The great room showcases a stunning floor to ceiling, temperature-controlled wine wall holding over 300 bottles of wine, crafted with natural cobblestone and millwork. Adding to the great room opulence are 17' Panoramah structural glass automated sliders that with a touch of a button, this technological marvel opens to reveal a covered patio, seamlessly merging the indoor and outdoor spaces. The residence also includes a spacious office, a gym, a steam shower and sauna, four-car garage, and a guest suite with private entrance. Two additional large bedrooms come with ensuite baths, ensuring privacy and comfort. Designed to truly maximize an indoor-outdoor living experience, Aquarius is highlighted by a breathtaking rooftop open living space with a bathroom and bar offering panoramic views of Paradise Valley. Off the downstairs lounge sits an indoor/outdoor bar and secluded backyard with a fire pit to further enhance the outdoor ambiance. Crafted with meticulous detail with interiors by Ownby Design, lighting by Creative Designs in Lighting, landscaped by Berghoff Design Group, and built by Arcadia Custom Builders, Aquarius is more than a home - it's a masterpiece of craftsmanship waiting to be unveiled. The developers left no details behind including solar ready engineering, Lutron lighting system, and automated window coverings throughout, along with so much more. Nestled among 11 other brand new, award-winning estates, including 3 custom builds and 8 Showcase homes, Aquarius is part of the exclusive Silver Sky community. A community consisting of privately gated, single level homes ensuring endless views, privacy, and the unparalleled size and sophistication of a luxury new community. Create your sanctuary and join an exclusive group of discerning buyers that cherish the finer things in life.

7140 N 40th Street Paradise Valley, AZ 85253

$16,200,000
4 Beds
6 Baths
8,132 SqFt
Status Active
MLS # 6672341
Property Type Single Family Residence
Price Type --
MOVE-IN READY JAN'25! Discover unparalleled privacy and serenity with the Jade residence in Crown Canyon, Arizona's most exclusive gated community. This award-winning BedBrock ultra luxury home with architect CP Drewett and interior designer Mara Green is a true masterpiece. Its distinctive Frank Lloyd Wright inspired triangular form features primary living on the main level with soaring 19-foot ceilings that ascend to an impressive 24 feet encapsulated in glass. A grand staircase, or elevator for ease, takes you to the lower level with two secondary en-suite bedrooms, an oversized game/family room complete with a bar, and a separate fitness room. A detached casita perched above the four-car garage rests seamlessly on the hillside, offering a private retreat for guests. Sprawling outdoor decks, fireplaces and an outdoor kitchen surround the infinity pool and spa capturing 250 degree views of the raw desert landscape. This one-of-a-kind home is customized with premium materials and appliances, showcasing a steel construction and meticulous attention to detail throughout.

6112 N Paradise View Drive Paradise Valley, AZ 85253

$16,000,000
14 Beds
23 Baths
52,000 SqFt
Status Active
MLS # 6447239
Property Type Single Family Residence
Price Type --
Welcome to 6112 North Paradise View Drive in beautiful Paradise Valley, Arizona. On almost 6 acres, this grand estate features breath-taking 360-degree views which include Camelback Mountain and the iconic Praying Monk, the Phoenix Mountain Preserve, and South Mountain. Originally built in 1967 for Penzoil heir, Walter McCune, the mansion came to be known as the McCune Mansion. Sparing no expense, the opulent structure was designed to feature native Arizona stonework on the exterior. Inside, imported marble and tile as well as a stunning amethyst stone fireplace are examples of the bespoke details featured in the original construction. Features include both a guard house and a gate house; an Olympic sized swimming pool, his and hers locker rooms; what was a movie theater and a ballro There are 12 bedrooms and 12 baths, a separate 2,900 square foot guest house, and a multi-million dollar retaining wall. In total there are 52,000 square feet of livable square footage (to be verified by buyer). The mansion sits on a 3.77-acre lot and there are two adjoining parcels of raw land bringing the total lot size to 5.97 acres. This is an investment opportunity of a lifetime to renovate the existing structure or develop the acreage. There is no better location in Paradise Valley with easy proximity to downtown Phoenix and all its offerings from the arts and museums, to sporting events, restaurants, and the ASU downtown campus. Just 15 minutes to Sky Harbor international airport, commuting is a breeze.

7560 N Silvercrest Way Paradise Valley, AZ 85253

$15,995,000
6 Beds
8 Baths
9,094 SqFt
Status Active
MLS # 6639154
Property Type Single Family Residence
Price Type --
The most extraordinary Contemporary architectural masterpiece! This dramatic glass house sits high on the mountain across from Paradise Valley Country Club in a guard gated community. With astounding views of Camelback Mtn, downtown Phx + Mummy Mtn, this both warm + sophisticated recently renovated 9,090 sqft home on 5 acres looks like it was built in 2024! Seamless continuity between indoor and outdoor living spaces allows you to walk outside w/ no steps to dramatic large patios, grass area, glass guest house and 2 swimming pools- incl. BOTH a 75 ft LAP POOL+ CRESCENT INFINITY POOL. 6 ensuite bedrms, including guest house with living rm, bedrm + kitchen. Floor to ceiling windows thru-out, MAGNIFICENT FINISHES, 2 elevators, wine cellar w/ tasting rm+ 5 car garages Designed by noted Italian Contemporary Architect, Mateo Cami.

7150 N 40th Street Paradise Valley, AZ 85253

$15,900,000
5 Beds
6.5 Baths
9,333 SqFt
Status Active
MLS # 6641496
Property Type Single Family Residence
Price Type --
Ruby's organic design nestles harmoniously into the north facing slope of this breathtaking two-acre parcel. This private elevated basin is one of the premiere lots in the development, with both framed canyon views and distant vistas of Paradise Valley. This project embodies southwestern contemporary design with an organic stone plinth that grounds the program into the hillside. Horizontal steel blades cantilevering out above the desert floor below provide shade in the harsh climate while maximizing indoor and outdoor living. The palette draws warmth from the canyon geology, allowing the project to blend harmoniously with the pristine desert. The design amplifies and channels views from all spaces while providing an impressive 7 show car garage concealed into the stone plinth with oversized pocket doors that enrich the organic design. This set the stage for the sensational two-story glass atrium with floating stairs, double height pivot door, and a floating bridge which takes you to your private master suite, featuring exercise / spa area, office, laundry room, master closet and two water closets. The core of the living and entertainment space are situated on the western wing, capturing desert sunrise views and allowing for seamless flow to the elevated outdoor terrace and pool deck. Enjoy everyday living on top of the world. *This home won a Best in American Living Award 2021. Recognized as one of the premier home design-build awards in America.

7720 N Foothill Drive Paradise Valley, AZ 85253

$15,750,000
5 Beds
6.5 Baths
8,790 SqFt
Status Active
MLS # 6583700
Property Type Single Family Residence
Price Type --
****Project has PV Hillside Approval - Building Permit coming in Feb 2024**** ****Separate Guest Quarters - 1,300 Sq.Ft.**** ****Main Living Area - 5,890 **** ****Floor Plan in Doc Section**** Exceptional Spec being built on the NE Slope of Mummy Mountain. Bottom level - 6 Car Garage, Wine Cellar, Safe/Gun Room, Dumb Waiter to Kitchen, Separate Entrance to Guest Quarters, Staging area for parties, and an additional bedroom.

4510 E Maderos Del Cuenta Drive Paradise Valley, AZ 85253

$15,000,000
4 Beds
4.5 Baths
5,470 SqFt
Status Active
MLS # 6651977
Property Type Single Family Residence
Price Type --
Nestled in a secluded cul-de-sac on a naturally elevated acre, this brand-new construction, built by Arcadia Custom Builders with all-steel framing, boasts four en-suite bedrooms with a separate den and a gym. Carefully sited by Urban Design Associates, the home showcases views of the Camelback Mountain, Phoenix Mountain Preserve, and Mummy Mountain. On the exterior, the combination of stone, hand-burnished stucco, and large picture windows merge with the surrounding natural beauty and landscape by Berghoff Design Associates. Carefully curated by Wolfe Studios drawing on European minimalism, the combinations of limestone, clay walls, Calacatta Viola marble, and stunning light fixtures transform this home into an unparalleled space of refinement, a testament to the pursuit of perfection.