Owing to factors like a fall in prices, lower interest rates, and a tax credit for first-time home buyers, the US home sales registered a 3.8 percent increase in the second quarter, as compared to the numbers in the first quarter.

Statistics from the National Association of Realtors (NAR) reveal that existing home sales in the second quarter jumped to a seasonally-adjusted annual rate of 4.76 million units; as against the 4.58 million units in the first quarter. However, the figures still remained 2.9 percent less than number of home sales in the 2008 second quarter.

Though foreclosures remained on a high during the second quarter, the increase in home sales is being considered to be a positive indication that the struggling US housing market is showing further signs of stabilization.

Commenting on the increase in home sales, Joel Naroff, of Naroff Economic Advisors, said: "We're seeing a growing percentage of metropolitan areas with home sales up over the year. We're seeing growing strength in a variety of areas across the country."

While 39 states reported home sales increases in the second quarter vis-à-vis the first quarter; nine states showed a sales increase higher than the same quarter last year. States showing double-digit increase in quarter-on-quarter sales included - Hawaii, Idaho, Indiana, Maine, Montana, New Jersey, New Mexico, New York, South Dakota, Utah, Vermont, Washington, and Wisconsin.