- Every property boom is inevitably followed by a property slump.
- But whilst a property boom is going on everyone inevitably says this one is different and there won't be a slump like last time.
- And then when we are in the middle of the slump everyone will inevitably say that we have learned our lesson this time and we won't let it happen again.
- And then a few years later it all inevitably happens all over again.
There are a few more:
- No one accepts that a boom has finished until months, possibly years after it has.
- The bigger the property boom is the bigger the inevitable slump will be.
- During a boom interest rates always drop which fuels the boom and in the slump interest rates inevitably rise which makes the slump even worse.
