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New US Home Sales Hit 2.5-Year High

Sales of new homes shot up 4.4% in November to a two-and-a-half-year high in another sign that the ongoing recovery in the nation's housing market is solidifying.

Sales of new homes rose to an annual rate of 377,000 last month, the Commerce Department said Thursday. That's the highest level since April 2010, when a temporary tax credit boosted demand.

Sales are now 15.3% higher compared to one year ago, though they remain quite low by historical standards.

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