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New home sales: 'Really good news'

NEW YORK (CNNMoney.com) -- Sales of newly constructed single-family homes spiked 11% in June to an annualized rate of 384,000 homes, according to a report released Monday.

The gain over May was much greater than expected. A consensus of housing industry analysts had forecast seasonally adjusted sales of 352,000, according to Breifing.com.

However, sales are still 21% below the levels of a year ago, when new homes sold in June at an annualized rate of 488,000, according to the report released by the U.S. Department of Housing and Urban Development. Four years ago, during the height of the housing boom, the sales rate for June was 1,374,000, nearly three-and-a-half times higher than last month.

Still, the report was very positive, according to Peter Morici, an economics professor at the University of Maryland who had forecast June sales to be at the 350,000 level. "That is really good news. Considering what's going on in existing home sales, with all the foreclosure activity sending down home prices, for new homes to jump like that is a good indicator that the economy is bottoming out."
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Hiking Gear - The North Face Arnuva 50 Trail Running Shoes (For Women)


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The North Face Arnuva 50 Trail Running Shoes (For Women)

The North Face Arnuva 50 Trail Running Shoes (For Women)
CLOSEOUTS . Lighweight Arnuva 50 trail running shoes from The North Face feature advanced BOA lacing system that allows you to dial in the perfect fit with the twist of a knob. Breathable Air Mesh and leather synthetic uppers Uppers expel heat as you run Removable Northotic footbed absorbs shock and supports arch Agion(R) antimicrobial treatment fights odor Easy-to-use BOA lacing system Tenacious high-traction rubber outsole Weight: 1 lb. 6 oz. pr. Medium width CLOSEOUTS . China. Runs small, order 1_2 size larger. Visit our Running Shoe Guide Available Colors: WHITE/PLATINUM ICE, FOIL GREY/WASABI GREEN, ALLOY GREY/MERINGUE YELLOW, BRUSHED METAL BLUE/TNF NAVY. Sizes: 10, 11, 5, 5.5, 6, 6.5, 7, 7.5, 8, 8.5, 9, 9.5.

$59.95
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