I feel sorry for the dude over on Calculated Risk. He has lost all credibility with his attempt to spin a clearly deteriorating housing market in order to rationalize his housing recovery predictions. His failure to see the manipulation and fraud by the Wall Street crowd makes me think he has been bought off by those bozos. Mortgage applications are now hovering just above 17 year lows and continue to decline. If 4.5% mortgage rates can have this impact, imagine what would happen if Bennie ever did taper. Pending home sales have rolled over and will plunge over the next six months. The punch bowl is empty. The party is over. The Wall Street lemmings will all try to exit their buy and rent scheme when prices start to fall again. Then the real fun begins. I can’t wait.