Money | housing market US New Home Sales Hit Fastest Pace Since 2008 Sales of new homes increased 9.6% last month By Newser Editors and Wire Services Posted Feb 26, 2014 10:18 AM CST Copied In this Thursday, Jan. 9. 2014, photo, a sold sale sign hangs in front of a house in Mount Lebanon, Pa. The Commerce Department releases new home sales for January on Wednesday, Feb. 26, 2014. (Gene J. Puskar) US sales of new homes rebounded in January to the fastest pace in more than five years, offering hopes that housing could be regaining momentum after a slowdown last year caused by rising interest rates. The Commerce Department says sales of new homes increased 9.6% in January to a seasonally adjusted annual rate of 468,000. That was the fastest pace since July 2008. It came as a surprise to economists who had been forecasting a sales drop in January, in part because of a belief that activity would be held back by bad winter storms in many parts of the country. Sales had fallen 3.8% in December and 1.8% in November, leading to worries that the housing recovery could be losing momentum. Read These Next Online boo-bears go after the demo firm tearing White House apart. President Monroe's daughter wrote a desperate plea in 1839. Plane windshield partially shatters mid-flight. There's a suspect. 'Butt-breathing' could be the future for struggling patients. Report an error