The US has a reverse issue when it comes to real estate. After 2008 we stopped building and now prices are rapidly spiraling upwards as we realize that we're playing musical chairs without places for over four million people[1] to sit.
In China it's the opposite where people have been selling houses before they are ever built, or building before anyone ever arrives, leading to very unbalanced debt issues.
So if anything the current US housing "bubble" is actually very sustainable right now because there's tons of demand for houses, so people who miss their mortgage payments are still sitting on a nice asset which the bank can repossess. In China they can't repossess many of the houses because they haven't been finished yet.[2]
A big part of China's boom is the cultural requirement for Chinese men to own a house before they get married, but the one-child-policy has meant slow Chinese population growth and there is no reason for the real estate market to be this frothy outside a handful of big cities.
Yeah, while there is a definite chance for some form of crash in real estate in the US, I think an equally or more likely scenario is that incomes catch up with pricing via inflation rather than an out right pricing crash.
In China it's the opposite where people have been selling houses before they are ever built, or building before anyone ever arrives, leading to very unbalanced debt issues.
So if anything the current US housing "bubble" is actually very sustainable right now because there's tons of demand for houses, so people who miss their mortgage payments are still sitting on a nice asset which the bank can repossess. In China they can't repossess many of the houses because they haven't been finished yet.[2]
[1] https://www.wsj.com/articles/u-s-housing-market-is-nearly-4-...
[2] https://www.reuters.com/world/china/unfinished-evergrande-ap...