Sales of new homes rose to the second highest pace on record in August, despite higher U.S. mortgage rates. Sales of new single-family homes rose by 2.9 percent to a seasonally adjusted annual rate of 980,000 units, well above analyst expectations for a decline to 950,000, the Commerce Department reported Thursday.
Analysts expect the housing market to ease over the rest of the year.
The August strength was offset by sharp downward revisions to sales figures for June and July. July sales were revised to 955,000 units from 980,000, while the June sales rate was 947,000, previously reported at 979,000. The Cincinnati Enquirer , a Gannett Co. Inc. newspaper.