The problem is that this is capitalism, or perhaps better expressed : an auction. There is a bubble if and only if most people believe there is a bubble. There

The problem is that this is capitalism, or perhaps better expressed : an auction. There is a bubble if and only if most people believe there is a bubble. There is no bubble if most people don't believe there is one. Right now I'd say there definitely isn't one and house prices will rise for a while, even if prices are really at bubble levels. However, the economy is not doing well, so people will notice they can't actually buy "non-"bubble priced houses, and Bernanke can only hold back public opinion for so long.