Property "bubbles" only matter when housing is scarce and therefore treated as an investment. We all understand why the recent run-up in used car prices was bad for most people, even if it meant that the people who owned a car enjoyed a sudden spike in the value of that "asset." We don't want the things we buy to be more expensive. We want them to be less expensive. Falling prices are good.

I lived in Beijing for 9 years and literally could look through unfinished peepholes of apartments (which would be called condos in the states) and see that they weren't even renovated yet. The building would be sold out years ago, but only 25% of the apartments were being lived in. And you really need to look at rents: if a 8 million RMB apartment that is on the market is also renting for 5000 RMB/month...ya, something is wrong.

It never made sense for me to buy property in China (which I was eligible to do after being there for 6 years), since rent prices were so cheap in comparison.

bitcoin fixes this

I’ve gotten downvoted for mentioning this on HN before but I’ll say it again - all we would need to do to largely stabilize housing prices would be to secure our borders. Our population growth is largely due to immigration, and right now we’re letting in over a million immigrants a year who will statistically have more children than the people that are already here.

That seems unlikely. A difference of a million or so out of 350 million Americans is not going to have much impact on stabilizing housing. Further, poor immigrants are not buying houses. Perhaps we have to look at regulating foreign buyers, you know, folks with money. But blaming immigrants seems misplaced.

"Last year, 912,000 single-family homes were built, according to building permit data from the US Census. The US population grew by more than 3 million people in that time."

https://usafacts.org/articles/population-growth-has-outpaced...

Cutting that population growth by 1/3rd (or more, really, considering children) sure would help that number, would it not? A huge, huge portion of our population growth is due to illegal immigration.

It's more than a million. And there are delayed effects, like family members coming and of course a higher reproductive rate. Just more people to house in general. Of course immigration is a good thing overall, but let's get skilled workers in first and then fill the rest of the space fairly.

I don't think immigration is strictly our problem. Well, it actually might be: it is really hard to find people to build houses right now, and legal immigration of skilled construction workers from Mexico and Central America would really do a lot to solve that problem. But then we might be screwing those countries.