3073 Ceanothus Ave. in Chico, CA lowers price
What a great deal, this wonderful Hancock Park home is now only $314,00.
Chico’s Foreclosures
| Asking | Address | Beds | Bath | Year Built | Sq Feet |
| $45,000 | 184 Camino Sur | 3 | 2 | 1999 | 1560 |
| $63,900 | 141 W Lassen Ave. | 2 | 1 | 1962 | 766 |
| $99,000 | 1114 Nord Ave | 3 | 2 | 1990 | 960 |
| $99,900 | 1415 Sheridan Avenue | 1 | 1 | 1981 | 714 |
| $129,900 | 2099 Hartford Drive | 3 | 2 | 2005 | 1375 |
| $130,000 | 862 E 5th Avenue | 3 | 2 | 2005 | 1408 |
| $147,800 | 2099 Hartford Dr. | 3 | 2 | 2005 | 1375 |
| $157,900 | 3152 Bell Road | 1 | 1 | 1954 | 1070 |
| $168,000 | 1643 Normal | 2 | 1 | 1948 | 658 |
| $172,900 | 1164 Lupin Avenue | 3 | 2 | 1992 | 1378 |
| $173,900 | 1192 LUPIN AVE | 3 | 2 | 1992 | 1228 |
| $174,900 | 9463 Gerke Street | 3 | 3 | 1986 | 1744 |
| $175,000 | 2558 E 20th St | 2 | 2 | 2004 | 893 |
| $179,900 | 7 Olympus Lane | 3 | 2 | 1985 | 1248 |
| $179,900 | 3265 Rockin M | 4 | 2 | 1970 | 2972 |
| $184,900 | 823 Oak Lawn Avenue | 2 | 2 | 1948 | 672 |
| $185,000 | 1039 Blue Ridge Ave | 3 | 2 | 1984 | 1039 |
| $187,900 | 3 Tradewinds | 3 | 2 | 1992 | 1236 |
| $189,900 | 18 Arbor Drive | 3 | 2 | 1960 | 1378 |
| $195,000 | 3640 State Highway 32 | 2 | 1 | 1937 | 984 |
| $196,900 | 23 Comstock Rd | 3 | 2 | 1976 | 1276 |
| $205,000 | 5203 Coleman Ranch Road | 2 | 1 | 1920 | 1716 |
| $208,500 | 773 Caprice Way | 3 | 2 | 1990 | 1248 |
| $224,900 | 910 Karen Drive | 4 | 3 | 1954 | 1669 |
| $227,000 | 1185 Deschutes Dr | 4 | 2 | 1999 | 1383 |
| $229,000 | 1622 Spruce Avenue | 2 | 1 | 1917 | 1687 |
| $248,950 | 796 Victorian Park Drive | 3 | 2 | 1986 | 1451 |
| $249,000 | 13 Venetian Court | 3 | 2 | 2010 | 1408 |
| $249,000 | 12 Venetian Court | 3 | 2 | 2010 | 1408 |
| $249,900 | 1913 Spruce Ave | 2 | 1 | 1950 | 4460 |
| $269,000 | 303 Legacy Lane | 3 | 2 | 1998 | 1780 |
| $270,000 | 33 Bunker Court | 3 | 2 | 2003 | 1734 |
| $274,000 | 28 RUBICON Court | 4 | 2 | 2006 | 1968 |
| $292,900 | 6 Heartwood Ct | 4 | 2 | 1996 | 1654 |
| $294,000 | 79 Pauletah Place | 3 | 3 | 2005 | 1914 |
| $459,900 | 217 Eagle Nest Drive | 3 | 2 | 2001 | 2739 |
Chico Home Must Sell Just lowered to $325,000! Bring all offers today.
Chico’s Market Update
MARKET COMMENT
Mortgage bond prices fell last week pushing mortgage interest rates higher. Trading was positive for the week through Wednesday’s close. The data generally was benign causing no large mortgage bond market swings. Unfortunately a strong 273-point jump in the DOW Thursday resulted in mortgage rates worsening by about 3/8 of a discount point that afternoon. Fortunately bond prices recovered some Friday, as the stocks were unable to hold those gains. Rates rose by about 1/8 of a discount point for the week.
The producer and consumer price index data will be the most important releases this week. If inflation remains tame mortgage interest rates may improve. Expect global economies to continue to factor into trading.
LOOKING AHEAD
| Economic Indicator |
Release Date and Time |
Consensus Estimate |
Analysis |
| Housing Starts | Wednesday, June 16, 8:30 am, et |
Down 2.5% | Important. A measure of housing sector strength. Larger than expected decreases may lead to lower rates. |
| Producer Price Index | Wednesday, June 16, 8:30 am, et |
Down 0.4%, Core up 0.1% |
Important. An indication of inflationary pressures at the producer level. Lower figures may lead to lower rates. |
| Industrial Production | Wednesday, June 16, 9:15 am, et |
Up 0.7% | Important. A measure of manufacturing sector strength. A lower than expected increase may lead to lower rates. |
| Capacity Utilization | Wednesday, June 16, 9:15 am, et |
74.2% | Important. A figure above 85% is viewed as inflationary. A decrease may lead to lower rates. |
| Weekly Jobless Claims | Thursday, June 17, 8:30 am, et |
450K | Important. An indication of US employment situation. A higher figure should help rates. |
| Consumer Price Index | Thursday, June 17, 8:30 am, et |
Down 0.1%, Core up 0.1% |
Important. A measure of inflation at the consumer level. Lower figures may lead to lower rates. |
| Leading Economic Indicators | Thursday, June 17, 10:00 am, et |
Up 0.4% | Important. An indication of future economic activity. A smaller increase may lead to lower rates. |
| Philadelphia Fed Survey | Thursday, June 17, 10:00 am, et |
17.0 | Moderately important. A survey of business conditions in the Northeast. Weakness may lead to lower rates. |
INDUSTRIAL PRODUCTION
The Federal Reserve releases the Industrial Production report each month. It is a real measure of output from manufacturing, mining, electric, and gas utilities. The data is significant in that it provides an indicator of the state of the economy. Analysts use the data to attempt to determine market direction. The Fed uses the data to help set the course for monetary policy. Generally the Fed likes to see steady growth in the economy with little price pressures.
Mortgage interest rates generally react favorably to weaker than expected industrial production data. In times of economic weakness investors often move out of stocks and into mortgage bonds. When things look good investors often move out of bonds and back into stocks. We have seen these patterns frequently in recent months.
Floating into significant economic data always has some risk involved but the last release came in as expected and didn’t move the market much. Nonetheless, now is a great time to take advantage of mortgage interest rates at these historically low levels to avoid future market volatility.
Chico Market Update
MARKET COMMENT
Mortgage bond prices rose last week pushing mortgage interest rates lower. We were negative through Thursday as stocks performed generally well until Friday’s data was released. Fortunately bond prices surged higher Friday morning following the weaker than expected payrolls component of the employment report. In addition, news of a troubled Hungarian economy reignited global fears and resulted in flight to quality buying of US debt instruments. Stocks fell precipitously Friday. Rates fell by about 1/2 of a discount point for the week.
The retail sales data will be the most important release this week. The US Treasury auctions will also factor into trading along with the global economic uncertainty. The Euro remains especially volatile. If additional countries announce economic trouble the flight to quality buying of US debt instruments could continue.
LOOKING AHEAD
| Economic Indicator |
Release Date and Time |
Consensus Estimate |
Analysis |
| Consumer Credit | Monday, June 7, 3:00 pm, et |
Down $4.3 billion |
Low importance. A significantly larger than expected increase may lead to lower mortgage interest rates. |
| 3-year Treasury Note Auction | Tuesday, June 8, 1:15 pm, et |
None | Important. $36 billion of notes will be auctioned. Strong demand may lead to lower mortgage rates. |
| 10-year Treasury Note Auction | Wednesday, June 9, 1:30 pm, et |
None | Important. $21 billion of notes will be auctioned. Strong demand may lead to lower mortgage rates. |
| Fed “Beige Book” | Wednesday, June 9, 2:00 pm, et |
None | Important. This Fed report details current economic conditions across the US. Signs of weakness may lead to lower rates. |
| Trade Data | Thursday, June 10, 8:30 am, et |
$42 billion deficit |
Important. Affects the value of the dollar. A falling deficit may strengthen the dollar and lead to lower rates. |
| 30-year Treasury Bond Auction | Thursday, June 10, 1:15 pm, et |
None | Important. $13 billion of bonds will be auctioned. Strong demand may lead to lower mortgage rates. |
| Retail Sales | Friday, June 11, 8:30 am, et |
Up 0.5% | Important. A measure of consumer demand. A smaller than expected increase may lead to lower mortgage rates. |
| U of Michigan Consumer Sentiment | Friday, June 11, 10:00 am, et |
74.5 | Important. An indication of consumers’ willingness to spend. Weakness may lead to lower mortgage rates. |
| Business Inventories | Friday, June 11, 10:00 am, et |
Up 0.4% | Low importance. An indication of stored-up capacity. A significantly larger increase may lead to lower rates. |
WARNING OF HIGHER RATES
Last week Atlanta Fed’s Lockhart said that the Fed might need to raise rates to counter inflation even with high unemployment. “Good policy, even in circumstances of unacceptable levels of unemployment, may incorporate higher interest rates. The time is approaching when it will be appropriate to consider recalibrating interest rate policy.” He added, “as the economy continues to improve and financial markets find firmer ground, extraordinarily low policy rates will not be needed to promote recovery and will become inconsistent with maintaining price stability.”
Lockhart noted inflation remained under control for now. Now is a great time to take advantage of mortgage interest rates at these historically low levels to avoid future market volatility, especially with the recent decline in rates and remarks like Lockhart’s hitting the market.