Pulte Homes (NYSE:PHM) stated recently that homebuyers still want and need larger homes, and that isn't the only sign around us that the housing market is coming back to life. In this video, Motley Fool analysts Morgan Housel and Matt Koppenheffer discuss the two ways the housing market is recovering, in home price and home construction, and how very different these two ways of looking at the recovery are.

Fool contributor Matt Koppenheffer and The Motley Fool own shares of Bank of America. Fool contributor Morgan Housel has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools dont all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.