Although the housing market in the US is much slimmed down from its pre-recession levels it still has the capacity to make a key contribution to overall economic activity. Indeed, it is estimated that housing and all the ancillary activities connected with it contributed 70% to Q1 GDP growth. That is why there is a certain concern that a premature reduction of the Fed's asset-buying programme could undermine the housing market recovery, and with it the fledgling overall recovery. How real are these concerns?