That's the definition of a bubble - asset detached from fundamental value.
1. Pick a hot up and coming city.
2. Buy 5 properties at $1m each.
3. Sell in 2-4 years for double the value, preferably paying no tax on the capital gain at all if you (somehow) can.
Rinse and repeat. It's what happened in London in 2008-2014, etc.
You just, as an investor, need to be aware it's a bubble.
Having both a clear exit price and timeframe in mind when buying is probably a good way to do it. Even if a property bubble starts to collapse, there is usually still sufficient time to get out.
Yeah, that worked really well for me in 2004 – 2009.
Prices today 3 times what they were in 2004. Well above inflation.
Rest of the country, that doesn't attract the "need to hide my money from a foreign tax man" crowd, not so much.
If you believe property to be (significantly) overvalued, then you should rent instead of buy. If you're at the end of a "boom", then it's not unreasonable to wait it out and see how prices progress. Low interest rates also tend to push residential prices higher, because people can pay off more principal monthly vs less if rates are higher. When buying property it's almost always better to buy when rates are high and refinance later than to buy when rates are low.
Buying high and selling low is also definitely a thing. That doesn't necessarily mean you can't find a good deal somewhere (you can), but it'll be much harder.
Tldr: Unlike what most people believe, property is not a "sure thing" investment.
Its about having more money than you know what to do with.