UPDATE 1-U.S. homebuilder PulteGroup beats profit estimates

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July 25 (Reuters) - PulteGroup Inc, the No.3 U.S. homebuilder, on Tuesday reported a better-than-expected quarterly profit as it sold more homes at higher average prices, benefiting from a robust housing market.

Pulte, which sells single-family detached homes, said the average price of homes sold climbed to $390,000 in the second quarter ended June 30, from $367,000 a year earlier.

The number of homes sold rose to 5,044 from 4,772.

New orders, a key measure of future revenue for homebuilders, also increased, rising 12.3 percent to 6,395 homes.

Homebuilders have benefited from a tightening U.S. labor market, which has fueled demand for homes in recent months.

"We believe housing demand can continue to move higher over the coming quarters," PulteGroup Chief Executive Ryan Marshall said in a statement.

PulteGroup's net income fell to $100.7 million, or 32 cents per share, in the second quarter, from $117.8 million, or 34 cents per share, a year earlier.

The company took a $121 million pre-tax charge in the quarter related to the sale of underutilized land assets.

Excluding one-time items, the company earned 47 cents per share beating analysts' average estimate of 41 cents per share, according to Thomson Reuters I/B/E/S.

Total revenue rose 12.3 percent to $2.02 billion. Analysts on average had expected $2.03 billion.

Up to Monday's close, Atlanta-based PulteGroup's shares had risen 32.9 percent this year. (Reporting by Arunima Banerjee in Bengaluru; Editing by Sai Sachin Ravikumar)