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Housing might be on the verge of a major pickup.

Deutsche Bank circulated a chartbook analyzing prospects for the US housing market over the near future. While housing is still recovering from the burst of last decade’s housing bubble, there are some interesting and promising signs that things may soon be returning to normal.

America’s demographics and the aftermath of the Great Recession have led to a large reservoir of potential housing demand. There are a huge number of younger millennials who are about to hit the prime years for going out and starting households. In the next few years, the big spike of 20-25 year olds in the population chart below will reach their late 20s and early 30s, and they’ll be pretty likely to start renting or buying homes.

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