WASHINGTON - Sales of new homes took the biggest monthly jump in 47 years in March, and orders for most large manufactured products rose by the largest amount since the recession started.

Factories are benefiting from a sharp increase in orders from U.S. and foreign businesses, but the fuel for new home sales is coming from a less sustainable source: government subsidies.

Some analysts predict demand for homes will fall over the summer, preventing the beleaguered sector from adding much to the economic recovery.

The Commerce Department said Friday that new home sales rose 27 percent in March, bouncing off February's record low. The figure blew past expectations as better weather and government incentives boosted sales.

The report comes a day after March sales of existing home shot up 24 percent from a year ago. Tampa Bay area purchases increased 21 percent.

New home sales, meanwhile, hit a seasonally adjusted annual pace of 411,000, the strongest month since July. The data reflect signed contracts to purchase homes rather than completed sales and give economists a feel for how many buyers were out shopping.

It likely is capturing consumers who are trying to qualify for federal tax credits that will expire at the end of next week. The government is offering an $8,000 credit for first-time buyers and $6,500 for current homeowners who buy and move into another property.

To qualify, buyers must have a signed contract complete by April 30 and must complete their transaction by the end of June.

"Everyone's just trying to sign on the dotted line," said Jennifer Lee, an economist with BMO Capital Markets.

The increase in new home sales was seen nationwide.

In a separate report, new orders for durable goods - those that are expected to last at least three years - fell by 1.3 percent, the government said. Excluding demand for aircraft and other transportation goods, orders surged 2.8 percent, much more than analysts had projected.

The report was evidence that businesses are spending more on equipment in anticipation of a stronger economy.