Sorry for the lack of posting. I’m out of the country and ran into a slightly spotty Internet connection. However I would be remiss if I did not point out this trip down memory lane by Paul Krugman: 

 “A national severe price distortion seems most unlikely in the United States” — Alan Greenspan, October 2004.

"Homebuilders led the stock parade this week with a fantastic 11 percent gain. This is a group that hedge funds and bubbleheads love to hate. All the bond bears have been dead wrong in predicting sky-high mortgage rates. So have all the bubbleheads who expect housing-price crashes in Las Vegas or Naples, Florida, to bring down the consumer, the rest of the economy, and the entire stock market.” — Larry Kudlow, June 2005.

“I suspect that we are coming to the end of this downtrend, as applications for new mortgages, the most important series, have flattened out .. I think the worst of this may well be over.” Alan Greenspan, October 2006.

“The housing market is at or near the bottom.” Henry Paulson, April 2007.