Homebuilder stocks surged Friday after the  U.S. Department of Commerce reported new home sales jumped 27%, the highest increase in nearly 50 years.

Builders had been battered by the plunging housing market, but the new home sale data, coupled with strong gains in existing home sales, sent stocks soaring.

Toll Brothers, (TOL) Lennar Corp. (LEN), Hovnanian Enterprises (HOV), Pulte Group (PHM) and D.H. Horton Inc. (DHI) all had strong days on the market alongside nearly every major homebuilder stock.

Sales of new homes were up 27% in March to a seasonally adjusted annual rate of 411,000. As with existing-home sales, new home sales were boosted by the homebuyer tax credits, which expire at the end of the month.