U.S. housing construction rebounded in March, rising by 6.4%, the largest increase in 10 months.

In a fresh sign of the economy’s resurgence, the Commerce Department reported Friday that the number of residential projects builders started last month clocked in at a seasonally adjusted annual rate of 2 million units.

The advance, the largest since last May, came after two straight months in which housing construction dropped. Those previous declines were blamed on bad weather in some parts of the country, which forced construction delays.

March’s performance was stronger than analysts were expecting. They were forecasting housing starts to rise to a rate of around 1.9 million units.

RBC Financial notes that gains occurred in both single and multiple units, and that only the northeastern United States posted a decline. “Building permits also increased which bodes well for construction strength in the pipeline,” RBC says.

“The U.S. housing market continues to show wall-to-wall strength. However, with mortgage rates on the rise – climbing over 50 basis points in the past month – housing starts will likely begin to drift lower in the second half of the year,” BMO Nesbitt Burns says.