The main characteristics are: the real estate price fluctuates greatly, there is no stable cycle and frequency, and the money supply in the real estate economic system increases sharply in the short and medium term. There are three reasons for the "bubble" of real estate: excessive speculation by investors; Consumers and investors predict that the future price will be high; Irrational expansion of bank credit. Once the real estate "bubble" bursts, it may lead to the imbalance of economic structure and social structure, trigger a financial crisis and even a political and social crisis.
Extended data
People summarize the criteria for judging the real estate bubble as "five highs", that is, investment continues to grow at a high level, consumption continues to grow at a high level, house prices continue to rise sharply, the proportion of real estate investment is high, and the ratio of house prices to income is obviously high.
These "five highs" are generally strongly related, not only high, but also continuous. The continuous standard of the definition of "high" is more than two years in a row. The boundary between high and ultra-high is roughly as follows: the so-called ultra-high growth of investment and consumption means that the annual growth rate of real estate investment and consumption exceeds twice the GDP growth rate; The first is that the absolute price is high, and the second is that the house price is growing too fast in the short term, and the average annual growth rate of house prices reaches or approaches 2 digits; The proportion of real estate investment is greater than 25%; A high ratio of house price to income means more than 6: 1, or even more than 8: 1.
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