I tried to post a link to an interesting article on China's ghost cities, but it seems that my posts are being blocked.
Try searching 'china bizarre ghost city'. Should be a wnd article.
Apparently chinese families like to buy tons of real estate rather than banking it, trading on stock market, or buying gold. All of this real estate has been bought and paid for as an investment/gift to children/grand children etc. Makes you wonder if this is a bubble that will pop or just keep on growing. If in fact this is standard practice for future generations then I don't see doom and gloom any time soon. We only run into a problem if the buyer can't afford to keep the property and the average chinese buyer pays 30-40% down, so I highly doubt very many will walk. Remember in the chinese culture the children are expected to take care of the parents when they retire. Makes sense to buy homes for your children in that case since you would also be investing in your retirement. Also I've heard alot of talk lately that they will be ending the one child policy in the near future, so we'll see how that goes.