The nation’s leading online real estate marketplace, Ten-X (formerly Auction.com), released its Residential Real Estate Nowcast. The company projects that existing homes sales will fall between 5.13 and 5.46 million annual sales from January, with a targeted number of 5.29 billion; this will be a healthy 9.8% up from a year ago, but down 3% from December.

Existing homes sales have been up and down since the TILA-RESPA Integrated Disclosure was enacted, but the January numbers seem to indicate that things seem to be leveling out as more and more lenders adjust to the regulation.

Ten-X executive Rick Sharga noted that, “It’s apparent now that November sales figures were artificially low due to delays associated with the new TRID process, and December numbers were artificially inflated as lenders quickly worked through the backlog.”

He also observed that the fact that home buyers are a little more active than at this time last year is a very good sign for the housing market.

A rebound in existing home sales for early 2016 was expected, predicted by both the National Associate of REALTORS and Ten-X Cheif Economist Peter Muio.

Sudden drops and bounces in the numbers aside, the sales in November and December averaged a 5.11 million rate, which is close to the SAAR 5.26 pace which was average for 2015. Muio said that these numbers indicated that “…several positive underlying fundamentals – a healthy job market, wage gains, improved consumer confidence and low interest rates- have supported the housing market recovery…” The numbers from late last year prompted Muio’s prediction for the early 2016 increase.

Buying a house is an important way for many people and families to gain a valuable asset, home security, stability, and confidence. As the job and housing market recover from the 2008 financial crisis, caused partially by the subprime mortgage bubble, it is still important for home buyers to execute caution when making the decision to take on a mortgage. Ensuring that one is able to pay the 3.5% down payment that many lenders require is often the first of many unexpected costs that accrue when buying a home.

Although things are looking up now, there is reason to believe that housing prices will go up. Sharga says that the lack of inventory and the mix of properties being sold will continue to drive prices higher, which “…may become a problem from an affordability standpoint, especially if interest rates go up as well.”