Housing Mess Continues Downslide...

Via Hot Air:

... May, traditionally the height of the spring housing season...

Mortgage applications to purchase a home began to sink... are down nearly 40 percent from a month ago to their lowest level since April of 1997. Yes, you can argue that a larger-than normal share of buyers today are all cash, but those are largely investors that means real organic buyers are exiting in droves.

Meanwhile, Ace has this:

... 31 percent of foreclosures in March were deemed to be "strategic default" by researchers at University of Chicago and Northwestern University.

That's up from 22 percent in March of 2009.

Don't say I didn't tell you so.

June 9 Update: Mortgage aps fall 12%, to lowest level since 1997!