The U.S. Commerce Department released new home sales data on Wednesday. New home sales increased 10.7% to a seasonally adjusted annual rate of 495,000 units in October from 447,000 units in September. September's figure was revised down from 468,000 units.
Analysts had expected new home sales to reach 500,000 units.
The increase was mainly driven by higher sales in the Northeast. New home sales in the Northeast soared 135.3% in October.