Tax credit boosts April home sales

"There's been a return of buyer confidence with stabilizing home prices, an improving economy and mortgage interest rates that remain historically low," Yun said. 

The housing price correction is over despite higher inventory levels and seasonal gains last month, he said. 

"In fact, a majority of the markets have seen price gains recently," Yun said. "A return to old-fashioned responsible lending and buying will help the housing market avoid disruptive and painful bubble-bust cycles."

The average home price was $173,000 in April, up 4 percent from a year ago.