Pending home sales rose 4% in August, exceeding expectations due to lower mortgage rates. Contract signings are up 3.8% from last year, with the Midwest leading the way. The housing market, in a three-year slump, may see increased activity as rates drop to 6.3%. Lawrence Yun of NAR sees this as a positive trend.

Read more at Yahoo Finance: Home contract signings jumped in August as mortgage rates dropped