Home Sales Spike, As Do Homebuilders

WASHINGTON D.C. (TheStreet) -- Home sales spiked 6.2% in October to 430,000, according to a new report from the U.S. Census Bureau and the Department of Housing and Urban Development -- news that sent the stock price of most of the major homebuilders on an upswing Wednesday morning.

The new-home sales numbers not only beat the September level of 405,000 home sales, but were also 5.1% above the October 2008 level of 409,000.

While recent housing industry reports showed a slow in new housing starts in October , the rush among first-time homebuyers, with the tax credit expiration looming last month, could have spurred additional sales.

Most Popular Apple's Decade: How It Can Hit $500

Most Commented Biotech Stock Mailbag: FDA Playbook

There was also positive news about the median home price increasing for the seventh-consecutive month released yesterday by the S&P/Case-Shiller index family.

The median sales price of new houses sold in October 2009 was $212,200; the average sales price was $261,100, according to the Census Bureau report.