According to new data released today by the National Association of Realtors (NAR), July marked the fastest sales growth in homes that we’ve seen in the last two-years.

In July, the annual rate of home sales hit 5.24 million homes (7.2-percent up), beating analyst expectations of only 5 million units. Just a month before, in June, that number was 4.89 million.

The rate also grew consecutively in the last four-months, the last time there was a four-month consecutive upswing was in June 2004.

In July, home sales were up 5-percent in comparison to July 2008. Single home sales were up 6.5-percent in July (annual rate 4.61 million homes), with family homes up 12.5-percent (annual rate 630,000 homes) in the same period.

There were also more homes available for sale in July, with total inventory up 7.3-percent to 4.09 million homes, according to the NAR.

Home prices were also down, with the median price falling by just over 15-percent over the same period last year to $178,400.

The Dow Jones industrial average rallied in mid-day trading today on the positive news and outlook.

Analysts remain cautiously optimistic on what appears to be an up-turn in the housing market.