Freddie Mac expects home originations to eclipse refinances this year — the first time since 2000 that this is expected to happen. And as the economy strengthens and the Fed tapers its buyback of mortgage-backed securities, there will be an upward pressure on mortgage rates, but not enough to harm housing affordability, according to Frank Nothaft, VP and chief economist at Freddie Mac.

"We've gone from dirt cheap to cheap," Nofthaft said, "and I think we'll see a half a gradual rise of about a half a percentage point to 5 percent in 2014." Even so, "markets will remain quite affordable."

He expects home sales and prices to rise an average of five percent nationwide, and housing starts to post a 20 percent gain. 

And David Berson said that because there's a big pent-up demand to form households — mostly by many college graduates who were forced to double up or live with their parents during the downturn — stronger job growth and a strengthening economy this year should lead to a strong formation of households.

The chief economist and senior vice president at Nationwide Insurance said, "I think this will be a pretty good year for home construction. There will be a big increase in single family home production, but not as much for multifamily."