> In the long term, the bursting of China's property bubble is probably good news, affordable housing is in the interest of everybody except property developers.
The effect of China's property bubble was an oversupply of houses, leading to unnaturally low property prices.
The long term effect will be a consolidation in the property branch, leading to less supply and higher property prices.
Whether this is good or bad I don't know, but it certainly will not lead to more affordable housing than right now.
Was there an oversupply in actually built properties in places people want to live? My understanding is that property prices in major cities are still massively unaffordable
What does it matter? All the people who bought apartments in the middle of nowhere as an investment now want to buy the apartments in real cities => thus more demand.
The effect of China's property bubble was an oversupply of houses, leading to unnaturally low property prices. The long term effect will be a consolidation in the property branch, leading to less supply and higher property prices.
Whether this is good or bad I don't know, but it certainly will not lead to more affordable housing than right now.