By Ruth Mantell
WASHINGTON (MarketWatch) -- U.S. new home sales rose 6.2% in October on strong results in the South, the Commerce Department estimated Wednesday. The rise in new-home sales to a seasonally adjusted annual rate of 430,000 was well above the 390,000 pace expected by economists surveyed by MarketWatch. Sales rose 23.2% in the South. Sales fell 20% in the Midwest, and 5.1% in both the Northeast and the West. The pace of new-home sales in September was revised slightly higher to a level of 405,000. New-home sales are up 5.1% compared with a year ago. The supply of homes on the market fell to 239,000 in October, representing a 6.7-month supply. The median sales price in October hit $212,200, compared with $213,200 in the prior year.
