Is the real estate market coming to life on the mainland?  Maybe, maybe not.  One things for sure, there are a few signs of life in hard hit areas of the country.

I said last month, that one of the first signs of a recovery in real estate is when the number of sales increase.  We saw that last month, but it was too early to say there could be light at the end of the tunnel.  Now this month, we see California Sales Up 18%, National Home Sales Increased 2% in May, and Pending Home Sales Up 6.3%.

Now, I am not saying all is rosy in the housing market, (so don’t bash me yet) but for prices to level out on the mainland, the demand side must begin to increase and not decrease.  Is this what is happening?  It may take some time to get there.

Bargain hunters have entered the market en masse, especially in areas that have experienced double-digit price declines, but it’s unclear if they are investors or owner-occupants.

Home buyers are starting to get off the fence and into the market, drawn by drops in home prices in many areas and armed with greater access to affordable mortgages.

What you’re seeing in some of the hardest hit markets, like California and Florida, is that Americans still love bargains.