What is China’s endgame for its property shakeout?
In short, the days of blistering home-price gains and debt-fueled building sprees by billionaire property tycoons are set to fade. They’ll be replaced by a much more staid market where authorities are quick to clamp down on speculative frenzies and development is dominated by state-run companies earning utility-like returns.
This is a secular shift but that does not mean it all has to happen at once. So, I still contend authorities will eventually ease a lot more.
