From 2010 it is the first time the U.S single family home sales supply rises and records less fall.

The sales pace of December was viewed to be the highest since June 2008 at 482,000 units with the sales dipping at 0.2 % to the annual rate of 481,000 which is seasonally adjusted.

From June 2012 sales have significantly drop. Last month’s sales may have been dragged back by bad weather in U.S north-east.

In the 2013 second half, after house activities reached the speed bump, it has remained a lacklustre. This make the housing sector to lag the overall economy despite the decline in mortgage rates.

In period of six weeks, Mortgage Bankers association recorded increase in its loan measures by 4.65 indicating home sales.

New Home Supply Shoots and Sales Near Multi-year HighsAt the sale pace witnessed in January, clearing houses supply would take to 5.4months.

From a year ago, price for the median new home increased 9.1% to $294,300 ascertaining the housing price data accelerating trend.

In a separate report, the Mortgage Bankers Association said its measure of loan requests for home purchases, a leading indicator of home sales, increased 4.6 percent last week, rising for the first time in six weeks.

There is more reason to be optimistic on housing. The labor market is gaining steam and housing activity should be boosted as more people get a paycheck.

In addition, home prices are showing signs of reaccelerating after slowing for much of 2014. That should lift more homeowners out of “underwater mortgages,” giving them more equity in their properties and allowing some to put their houses on the market.