After identifying the bull market top in this sector of the economy in 2005/2006, and then watching it collapse. We did a lot of work, while many were bearish, discovering which of the multitude of indicators were important in anticipating a bear market low. As a result we have written several reports over the years. The latest one should lead back to the previous reports: https://caldaro.wordpress.com/2013/05/26/us-housing-update/.
When the double bottom, we had been anticipating, arrived in 2011, we waited for a new bull market confirmation, which occurred in early 2012. Since then our leading and coincident indicators have remained bullish. In fact they continue to rise.
Building permits have risen from a 2011 low of 542k to 1102k in 2014/2015. While they continue to remain somewhat depressed, compared to the past 50 years: http://research.stlouisfed.org/fred2/series/PERMIT. We expect them to rise to about 1500k before this bullish cycle ends.
Home builder bullish sentiment has increased from a low of 8% in 2009 to a recent high of 58% in 2014. As long as it continues to rise we see the bull market in housing continuing. Historically, housing prices rise for 6 to 12 months after both of the above indicators have already turned bearish.
New home prices, which drive existing home prices, have increased from a low of $250k in 2011 to a recent 2014 all time new high of $384k. That is over 50% in just three years: http://research.stlouisfed.org/fred2/series/ASPNHSUS. The average sales price of all homes sold in the US http://research.stlouisfed.org/fred2/series/ASPUS is now at record highs as well. Even the Case-Shiller index, which measures the cost of home building excluding inflation, has risen 29% since its 2012 low. This has already exceeded our expected 25% increase.
With mortgage rates remaining low, household debt as a percentage of disposable income at multi-decade lows: http://research.stlouisfed.org/fred2/series/TDSP, homeownership levels still on the decline: http://research.stlouisfed.org/fred2/series/USHOWN/, and the relatively low level of single family houses sold, this bull market could continue a lot longer than most are anticipating. Best of luck in your real estate investing!