Housing in major cities in China has seen price hikes over the last year that resemble the famous Dutch "Tulip Fever" bubble of 1637, according to new research by economic consultancy firm Longview Economics.
"I think what's going on in China is troubling ... some of the valuations there are really quite extraordinary," Chris Watling, the CEO of Longview Economics, told CNBC Thursday. "We've double checked these numbers about seven times, because I found them quite hard to believe."
The firm's research found that only San Jose in the Silicon Valley is more expensive than Shenzhen. The Chinese city has seen prices rise 76 percent since the start of 2015, with the acceleration beginning in April 2015 as the country's stock market was nearing its peak. The situation in Beijing and Shanghai is similar, albeit less extreme, the company states.