Home sales up 11 percent in March

More people bought new homes in March, giving the battered industry a small lift after the worst winter for sales in almost a half-century.

New-home sales rose 11 percent last month from February to a seasonally adjusted rate of 300,000 homes, the Commerce Department said yesterday. That follows three straight monthly declines. Still, the pace remains far below the 700,000 homes a year that economists view as healthy.

Sales of new homes fell last year for the fifth consecutive year, and the market is showing no signs of rebounding. Economists say it could take years before sales return to a healthy pace. -- AP