Shortly after takeoff, the airplane stalled and impacted the ground about 200 feet beyond the departure end of the runway. A witness located at the airport operator's building stated, '150 feet off east end of runway 8, the aircraft appeared to pull straight up, turned over to the left, and came straight down.' Another witness, a certified flight instructor, driving in a car near the accident site stated, 'The aircraft was in an extremely nose high attitude. The aircraft appeared to be just above the tree line when we noticed the wing drop and the aircraft appeared to enter a spin.' Examination of the wreckage revealed no airframe or engine anomalies. The elevator was trimmed to the full nose up position. At the time of the accident, the pilot, a certified flight instructor, had accrued about 617 flight hours, of which, 42 hours were in the accident airplane. The passenger in the back seat received serious injuries and does not remember the accident or the 24 hours preceding the accident.