Canada

You want a dystopia, you’ll get it if the bubble bursts. You’ll also get it if the bubble continues to inflate.

Yeah, the range of ways out of this that don't suck are small. Even if you get the mildest of fixes: property values stay steady for decades while they're eroded by normal levels of inflation, that's going to be hell for people waiting for the prices to become reasonable, but also hell for people who bought property as an investment and instead see it losing value. Some of those people are rich, but other people were just using it as a retirement plan.

And for that, we need the political will

The problem is that political will always aligns with the self-interest of the parties or their leaders. Since home owners vote and donate, they're the ones who get listened to. Since property developers donate, they get listened to. Homeless people don't vote, and definitely don't donate to political campaigns. People struggling to make ends meet don't take time out of their busy days to get involved in politics, they just hope someone will help them.

Since politicians invariably come from a class that not only owns houses, but often owns multiple houses, the idea that they'll voluntarily take actions that reduce the value of their investments is pretty laughable.