Georgia and other Southern States are leading the way in housing demand.

Georgia and other Southern States are leading the way in housing demand.

Credit: GPB / File

The Housing Market Index from the National Association of Home Builders (NAHB) increased eight points to a score of 52 in the June report. The increase was the largest since September 2002.

According to NAHB any score above 50 indicates a good market for housing.

A report in the Washington Business Journal indicates new housing starts are key to the improved condition, "With the low inventory of existing homes, an increasing number of buyers are gravitating toward new homes," said NAHB Chairman Rick Judson, owner of Evergreen Development in Charlotte, N.C. NAHB Chief Economist David Crowe predicts housing starts will top 1 million this year for the first time since 2007.

The June 2013 report shows the strongest housing markets in the south.