Monday November 30th, 2015 12:03PM

New-home sales plunge as mortgage rates rise

By The Associated Press
WASHINGTON (AP) -- Americans cut back sharply in July on their purchases of new homes, a sign that higher mortgage rates may weigh on the housing recovery.

The Commerce Department says new-home sales dropped 13.4 percent to a seasonally adjusted annual rate of 394,000. That's down from a sales pace of 455,000 in June, which was revised sharply lower from a previously reported 497,000.

Other reports suggest higher mortgage rates could be slowing the housing market's momentum. In July, builders started work on the fewest single-family homes in eight months. And mortgage applications from potential buyers have fallen since rates have risen more than a full percentage point.

Still, most economists expect the housing recovery will persist. Even after July's steep drop, new-home sales were 7 percent higher than 12 months earlier.
© Copyright 2015
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
S&P 500 index has its best year since 1997
The stock market closed out a record year with more all-time highs on Tuesday, giving U.S. indexes their biggest annual gains in almost two decades.
6:56PM ( 1 year ago )
Colorado readies for 'Green Wednesday' pot sales
Police were adding extra patrols around pot shops in eight Colorado towns that plan to allow recreational sales to anyone over 21 on Jan. 1.
1:52PM ( 1 year ago )
Kerry seeks framework for Mideast peace talks
A senior State Department official says Secretary of State John Kerry will try this week to get Israel and the Palestinians to agree on a framework for negotiating a final peace agreement, yet cautions against raising expectations for Kerry's latest round of shuttle diplomacy.
1:35PM ( 1 year ago )
U.S. News
Missing Ga. bank director arrested in Brunswick
A bank director accused of losing millions of investors' dollars before vanishing last year was arrested Tuesday during a traffic stop in a city in south Georgia.
7:00PM ( 1 year ago )
Amtrak to suspend some Crescent service in Jan., Feb.
Amtrak service will shut down in parts of the Southeast for several days in January and February for rail maintenance by Norfolk Southern Railway.
9:00AM ( 1 year ago )
Lung cancer scans urged for some smokers, not all
Certain current or former heavy smokers should start getting yearly scans for lung cancer to cut their risk of death from the nation's top cancer killer, government advisers said Monday - even as they stressed that the tests aren't for everyone.
7:26AM ( 1 year ago )
Business News
Sex offender held in Hall County for failing to register
A 47-year-old man was booked into the Hall County Jail Tuesday, being held without bond for allegedly failing to register as a sex offender, his second such arrest.
6:09PM ( 1 year ago )
Pharmacy robberies may involve same suspect
Oakwood Police Tuesday afternoon released details in a pharmacy robbery they're investigating, similar to one that happened in the Hall County Tuesday morning.
5:46PM ( 1 year ago )
Victim critical following apartment fire
A 41-year-old woman was in critical but stable condition Tuesday after being rescued from an apartment fire in Forsyth County late Monday afternoon.
3:16PM ( 1 year ago )
Local/State News
Georgia's Mark Richt not done coaching, will listen to anyone interested in giving him a job
ATHENS, Ga. (AP) — Mark Richt remains interested in another coaching job and said Monday he will listen "to anybody who has interest in me" as he prepares for his final game as Georgia's coach.Georgia...
11:01AM ( 1 hour ago )
AAA: Thanksgiving gas prices hit seven-year lows
Last week, motorists enjoyed the lowest Thanksgiving gas prices in seven years (2008)
By AccessWDUN staff
8:01AM ( 4 hours ago )
Congress returns to unfinished business, Dec. 11 deadline to complete must-pass spending bill
WASHINGTON (AP) — Lawmakers are returning to Capitol Hill to wrap up work on the budget, highway funding and taxes, an end-of-the-year stretch that will test the standing of Republican leaders like Ho...
7:45AM ( 4 hours ago )
Georgia's Richt stepping down following 'mutual' decision
Mark Richt stepped down as Georgia's coach Sunday, leaving stunned players with one final bowl game with the man who ranks second in wins in school history.
By The Associated Press
7:35AM ( 4 hours ago )
Cooperative weather, flights aid so-far smooth post-Thanksgiving travel efforts
NEW YORK (AP) — Tens of millions of Americans returning home after the long Thanksgiving holiday weekend Sunday had cooperative weather and mostly efficient airport operations to thank for smooth trav...
1:43AM ( 10 hours ago )