Chinese Zombies in Global Real Estate
"Wealthy foreigners are illegally buying property because of Foreign Investment Review Board ineptitude, according to the federal MP leading an inquiry into the huge surge in property prices that has split Treasurer Joe Hockey and the Reserve Bank of Australia."Coalition MP Kelly O'Dwyer said evidence given to her inquiry suggested restrictions on foreign buyers – who cannot buy established homes without approval – are not being adequately enforced by the board."
"The pattern of was most obvious in the United States, where five abrupt busts in 1819, 1837, 1857, 1873 and 1893 brought ends to periods of boom. Within each boom, there was a general upward rise in land prices over the period, at first gradual but then steepening as mortgage-lending accelerated to keep up, thereby fuelling an unsustainable burst of demand, and a final price explosion."