Since the creation of the pending home sales index, never has there been such a rise in the volume of contracts until now.  According to Realtor Magazine the last six months have seen a consistant rise

in the number of pending sales contracts.  This could have also attributed to the 9.6% rise in home sales during the month in June.  Currently the index is resting at its highest point since 2007 when it settled at 100.7.

Home sales have been on the run as well.  The chief economist at NAR Lawrence Yun stated the momentum in the housing market has increased and made a turn for the best.

Several factors attributing to this:

     1.  Affordability of homes at an all time high

     2.  First time buyer tax credit

     3.  Home values being at record lows

On average the typical mortgage payment for a middle class family now takes a little less than 25% of a the family's monthly budget, a testament to the home affordability. In regards to the tax credit it is estimated that 350,000 extra sales will be created due to this tax credit.  REMIND YOUR BUYERS THEY ARE RUNNING OUT OF TIME FOR THIS INCENTIVE.  After November ends, it will be too late.

According to the president of NAR Charles McMillan an attempt in congress is being made to extend the buyer tax credit into the year 2010 as it has seen such success.  This should be something to definitely watch closely.  Should the credit not get extended, it is likely that sales would drop during the first quarter of next year so keep your fingers crossed.  Do not despair however as Yun states that despite what happens with the buyer tax credit the fundamentals of the market have begun their accent to there proper place.