Many buyers, spooked by rising economic uncertainty, stayed away from the housing market during the start of the crucial spring season.

Sales of new U.S. single-family homes increased more than expected in March as buyers rushed to take advantage of a decline in mortgage rates, but a gloomy economic outlook poses a challenge to the housing market recovery.

Sales of existing US homes pulled back more than expected in March, logging their biggest drop since late-2022 according to industry data released Thursday, as high mortgage rates weighed on