Sales of new homes plunged unexpectedly last month to the lowest level since April, a sign the housing market recovery will be rocky.
The Commerce Department says November's sales fell 11.3 percent to a seasonally adjusted annual rate of 355,000 from a downwardly revised 400,000 in October. Economists surveyed by Thomson Reuters had expected a pace of 440,000.
Sales were down 9 percent from a year ago. The results suggest buyers will wait until spring before taking advantage of newly extended and expanded federal tax incentives designed to spur sales.
The median sales price of $217,400 was down nearly 2 percent from $221,600 a year earlier, but up about 4 percent from October's level of $209,400.
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