Hot US housing market: New home sales hit three-month high

Purchases of new single-family homes in the United States in January increased 4.3 percent, beating forecasts.

Sales of new U.S. homes rose in January by more than forecast to a three-month high as buyers took advantage of attractive mortgage rates that are now starting to increase. Purchases of new single-family homes increased 4.3% to a 923,000 annualized pace in January from an upwardly revised 885,000 rate in the prior month, government data showed Wednesday. The median forecast called for an 856,000 pace.