New Home Sales Much Weaker Than Expected...and

Mortgage applications for purchases and refinancings were much lower than expected - what was unexpected was that the Mortgage Bankers Association had no comment on this.  I can hear Bernanke cranking up his printing press and getting his infamously nefarious money-dropping helicopters (extreme posthumous apologies to Milton Friedman) ready to take off over America again.

Now that Obama has satiated Wall Street/AIG's thirst for huge taxpayer-financed bonuses, I'm assuming we can expect Stimulus Part Deux, which will again be used by State Governors to take care of their special interest pet projects and sprinkle money dust on Obama's Government-entitled/dependent support base.

Meanwhile, the Government housing subsidy program has stimulated a surge in mortgage fraud (hat tip to Clusterstock.com):

The Property Valuation Fraud Risk Index is up 25% from the previous quarter and up 46% from the year-ago quarter, indicating a shift toward fraudulent schemes involving short sales, real estate-owned inventories and refinancings by borrowers with equity impaired by falling property values.  (here's the link:  MORTGAGE FRAUD SPIKES)

I would appear that Obama's taxpayer-funded homebuyer credit is riddled with fraud in every aspect of the home sales process, from real estate broker puffery to appraisals, to mortgage fraud - and even outright qualification fraud.