That housing speculation should be illegal. It's no different than allowing speculation on milk or fresh water. All the specs did was force buyers to overpay, and line the pockets of the builders. Toll Brothers Inc. (TOL) Chief Executive Robert Toll said Thursday the company is seeing record cancellations now in part because its backlog stretched out beyond 12 months during the boom years when the company was selling a high volume of homes. As a result, speculative buyers are now walking away and giving up their deposit as the home comes to completion. At a UBS-sponsored investment conference, he said buyer confidence has declined with many "waiting for someone to tell them the housing market has bottomed."