The release of the Case-Schiller Home Price Index is just one of the plethora of housing indicators due to be released this week. We bought home builders based on low supply and the prospect of high demand. In fact, last week the National Association of Homebuilders released its Housing Affordability Index.

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According to the NAHB, housing has never been more affordable in the history of the index. To be sure, the index only covers 1992-2009, but it does account for the housing boom and bust of the 2000's.

The continued climb in existing home sales beating last month's blistering pace, is quite bullish for the homebuilding sector. Additionally, St. Louis Fed Chief Bullard suggested that the Fed keep the MBS purchase program open past March. His comments should bolster the perception that homes will remain affordable for quite some time.

Disclosures: Long HOV,PHM,TOL