Did anyone think the collapse would happen so suddenly, so swiftly, so completely and so widely? Seriously, the suddenness of the of the bubble collapse surprised even me...

Here's a good article in today's Wall Street Journal on the explosion in cancellations as potential homedebtors flee from making the biggest financial mistake of their lives.

Buyers back out of home deals in record numbers

A little over a year ago, buyers couldn't wait to sign contracts to purchase homes. Now, many can't wait to get out of them.

With real-estate prices falling around the country and even pro-industry trade groups predicting further declines over the next year, buyers are backing away from deals in droves.

At a semiannual housing forecast conference last week in Washington, D.C., economists reported that contract-cancellation rates for big builders were running around 40 percent -- about twice as high as last year's levels. Anecdotally, real-estate professionals say they are seeing a similar dynamic in existing-home sales.

"There are a whole lot of people running from contracts," says Alexandria, Va., real-estate attorney Beau Brincefield. He is currently representing more than 50 buyers who are seeking to get out of contracts on single-family homes, townhouses and condos, compared with none a year ago.