Pending home sales in the United State rose in July to the highest level in over two years and remain well above year ago levels, according to the latest figures from the National Association of Realtors.

Pending Home Sales Index, a forward looking indicator based on contract signings, rose 2.4% to 101.7 in July from 99.3 in June and is 12.4% above July 2011 when it was 90.5. The data reflect contracts but not closings.NAR chief economist Lawrence Yun said that the index is at the highest level since April 2010, which was shortly before the closing deadline for the home buyer tax credit.