I can see big condo correction... Not so much houses ,,, a lot of Chinese people are buying with cash... Excess cash ... And are for their kids. There are also a lot of retired people from elsewhere in Canada who prefer to retire here. WE could see some correction but I doubt it will be significant in the single family market in Vancouver.
You can't really apply conventional value investing / relative valuation when it comes to RE. This is a type of asset for family, for status, for a lifetime of hardworking ... There's a reason why only certain cities in the world attracts premium valuation such as HK, Shanghai, London, New York, etc. most immigrants want to live where other immigrants go to , it creates a network effect if you will. So you won't see premium even just 2h drive from Vancouver.
This situation is also not like The early 80s when HK people moved because of fear or HK. There's no fear driving mainland Chinese moving here. It's simple for the sake of their well being because china is too crowded ! If you are the 1% in china, you would do what you can to give your kids the best - and that's why they like certain markets.
Finally, most Chinese don't take out a mortgage with these houses. Cash. Mortgage is viewed as a bad thing in their culture - Rheas the picture I'm seeing with the single family houses in Vancouver. Condo market is another story. Toronto is another story. I think real estate is very localized.