If all the localities in a region, or even most of them, act this way, the end result is a housing shortage even when the economy is barely chugging along.
It's more complicated than just sharing.
It's not about whether you have to let people come and live on your own property. It's about whether your neighbour may subdivide her own property for a profit. Collectively, owners have an incentive to stop her; but individual incentives are mixed.
We can see how the politics of that tension is working out right now. But how can anyone tell how it will play out in the future?
The localities have a point. Why should existing residents pay for new infrastructure, to accommodate housing for 10,000 new residents (All because large tech firms keep building offices in the valley?)
In a proper world, either the tech giant, or those new employees should pay for those infrastructure improvements.
Traditionally, this has been done through high re-zoning and subdivision fees.
If you and your 4 roommates rent a 5-bedroom house... And then a sixth person moves in, and demands that everyone spends $20,000 each, to construct a sixth bedroom... The old residents are getting a pretty bad deal. The new resident paid $20,000 to get a room... But the rest of the house paid $100,000, for no benefit to themselves.
Cities have zoning/subdivision fees to deal with this exact problem. If you're adding X new units to the city, you have to pay for the infrastructure to support these X units.
property tax is lower for older residents
That's incorrect as written. Perhaps you meant to say that "for otherwise equal properties, tax is lower for owners with longer tenure in that property." It has nothing to do with owner age. CA where raising local taxes is fiendishly difficult
The vast majority of local tax increase attempts (sales tax add-ons, parcel taxes) over the past few decades passed, and on the first try.My sorries to people insulted by this statement.