There's something satisfying about beating Atletico 3 games in quick succession while Madrid struggles hopelessly against them and then beating Villareal 6-2 on aggregate while Madrid can barely get a draw against them.
Modric returning and thriving, and Bale getting injured are my two biggest concerns about Madrid. As long as one of those two do not occur, I don't see them winning anything this year.
They looked very bad at the start, but they looked great for a very short period around el classico when they were Marcelo,Ramos,Pepe,Carvajal,Isco,Modric,Kroos,James,Cristiano,Benzema 4-4-2. After that they had an incredibly easy series of games including early Copa del Rey, CL group stage, and Club World Cup. They were very fortunate and had the most perfect schedule possible (outside of the Barca match) to achieve the win streak which really hid their problems. After this long win streak which really did almost nothing for them, but a 1 point advantage in league and a meaningless trophy (I think the irrelevance of the win streak they had is not clearly pointed out often enough), they crashed once again and have looked terrible ever since, just as how they were when they started. It's not a very good team and was largely carried along by luck and an incredible midfield pairing (one of which is injured and the other exhausted).
People didn't think they were good last year prior to the CL win, people didn't think they were good at the start of this season. It seems like we forget this so quickly, though. I will be incredibly embarrassed if we don't win the next match and league vs them.