States like NC, TX, GA, NM and etc will get more and more expensive year after year. They only grow at a smaller percentage average annual rate, like 3% a year over the long term. However, densely populated states will grow at 7%+ average annual rate over the long term. If you use these 2 rates to project over next 20 years, you will see all places go up in value. The difference is densely populated area go up faster in value than sparsely populated area, the gap will be widening.

No, no place will get cheaper if they keep a healthy population growth and local economy. However, if population stop growing and economy gets stuck in reverse drive, then these area may get Detroitized, houses will indeed get cheaper. But that’s one extreme case.

Population increase is one fundamental to ensure future price increase. Japan is a great example, its population stopped increasing, that was a partial reason its economy got stuck and property value dropped.

Now, in order to answer China’s property prospect, we need to ask ourselves two questions:
1) Is China going to experience a zoning issue, or land built-out situation? If not, then, long-term property value may be in risk.
2) Is China going to experience a population growth? I already knew the answer, China’s population growth is not strong due to the one-child policy and lack of immigration despite China being the most populated country.