Property prices – Will the fear return?

Last June I posted a link to a graph perporting to show the Lifecycle of a Bubble from the web site http://www.housepricecrash.co.uk. I think that back then average UK house prices were descending from their all time high . I just checked out a graph of average house prices in the UK on the same web site and we seem to be following the lifecycle fairly well. We seem to have been down into the “Bull Trap” and are now rising into the “return to normal”.

Life Cycle of a Bubble
Life Cycle of a Bubble

Now we approach the critical time. Are we really returning to Normal or will we follow the lifecycle? Will Fear, Capitulation and Despair follow before we return to the mean. Hold onto your hats?!

Average UK House Prices
Average UK House Prices
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