Sales of new homes surged 27 percent last month, bouncing off the previous month’s record low and blowing past expectations as government incentives and better weather boosted sales.
The Commerce Department said Friday that new home sales rose in March to a seasonally adjusted annual sales pace of 411,000. It was the strongest month since last July and the biggest monthly increase in 47 years.
The new home sales report reflects signed contracts to purchase homes rather than completed sales and thus gives economists a feel for how many buyers were out shopping for new homes in a given month.