Probable US home sales rise points to recovery

Sales of US homes probably rose in December to the highest level in three years as the industry headed toward a more rooted recovery in 2013, economists said before reports this week.

Combined purchases of new and existing properties climbed to a 5.49 million annual rate last month, the highest level since November 2009, according to the median forecast of economists surveyed by Bloomberg. Another report may show the outlook for growth brightened last month.

Historically low mortgage rates, an improving job market and an increasing number of households will probably keep spurring demand for housing this year.

The rebound comes as political wrangling in Washington over federal-spending cuts and debt begins to shake consumer confidence, raising the risk that the world's largest economy will suffer.

"The housing market is coming back, gaining momentum, and it's one of the bright spots for the economy as we start 2013," said Robert Dye, chief economist at Comerica Inc, based in Dallas, Texas.

Purchases of previously owned homes climbed to a 5.1 million annual rate in December, the strongest since November 2009, economists project National Association of Realtors figures to show.