New home sales soar 11 percent in June in largest monthly increase in nearly 9 years

June new home sales rise 11 percent

SALES BUMP: U.S. sales of new homes accelerated in June by the fastest pace in more than eight years.

THE NUMBERS: Sales climbed 11 percent in June to a seasonally adjusted annual rate of 384,000, from an upwardly revised May rate of 346,000.

THE TREND: The increase comes as more homebuyers rushed to take advantage of falling home prices, low interest rates and a federal tax credit of up to $8,000 for first-time homebuyers.

HOT SPOTS: Sales were strongest in the Midwest, where they jumped 43 percent from May’s total. Sales declined only in the South.

QUOTE: “Today’s report is good news that indicates the nation’s housing market may be in the process of turning the corner.”

—Joe Robson, chairman of the National Association of Home Builders in Washington.