The Chinese property market may look like it's imploding. But one expert doesn't think it'll cause a financial crisis — and there may even be a bright spot.

• China's property troubles may slow the economy down, Nicholas Lardy, a China economy expert, told CNN.
• However, the issues will not create a financial crisis, he added.
• There may even be a bright spot. The over-capacity in the property market could be absorbed in the years ahead, he said.

The financial markets have been sounding alarm bells on China's dismal post-pandemic growth, pointing to flagging investor confidence in the world's second-largest economy.