U.S. new home sales inch higher in October

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U.S. new home sales inch higher in October
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U.S. new-home sales inched upward in October

The numbers: U.S. new home sales rose 0.4% to a seasonally-adjusted annual rate of 745,000 in October from 742,000 in the prior month, the Commerce Department said Wednesday.

Analysts polled by The Wall Street Journal had forecast new-home sales in October to remain steady at an 800,000 rate. Regionally, sales were strong in the Midwest and rose slightly in the South while declining in the Northeast and West. “For homebuyers who felt frustrated by this year’s extremely limited supply of existing homes, new construction can seem like an attractive alternative,” said Danielle Hale, chief economist at Realtor.com. But as she cautions, there’s a big catch.

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