Considering China still has internal migration restrictions, I don't know if it's possible for prices to find their natural floor, because people aren't allowed to freely relocate to the most affordable regions.

Have you ever seen these Ghost Cities in person? I don't see how they could find a market clearing price. Some of them are in the middle of nowhere, so what are people going to do? Many of them don't have nearly the infrastructure to support their full housing capacity. Plus, by Chinese standards, a lot of that construction is already getting pretty old.