WASHINGTON, Jan 27 (Reuters) – Sales of new U.S. single-family homes increased more than expected in December, further evidence that housing market activity regained some momentum at the end of 2024, though rising mortgage rates remain a constraint.

The report from the Commerce Department on Monday also showed the rebound in home sales in November was much stronger than initially estimated. It added to data this month that showed single-family housing starts and building permits increased to a 10-month high in December, while sales of previously owned houses also rose to the highest level since February