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It's a massive failure of neoliberal economics that this has occurred. Mortgage prices, along with the cost of electricity are two massive handbrakes on economic growth and potential productivity. Yet somehow the banks and power companies have captured the public to make people think that paying a million dollars to the bank is a great way to live. It's just crazy.

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You have to get government approval to build. What are you talking about?

The government should have disincentivized using houses as an investment vehicle.

Houses are for families to live in. The primary asset houses should provide are the family and the work they do, not the house. But if a house costs so much money that the family can't really take risks, then the house just becomes a debt prison.

However, you can't ignore the fact that homes have real tangible value and limited supply. As long as this is true, they will be a store of value.

> limited supply

You can build 8-15 new houses in about a month for what it costs for one outside of LA.

sure, but they wont be outside of LA. Land and location are part of what goes into the housing supply and you cant ignore that.

Prior to housing being investment vehicles and superannuation/401k .. most people had no money in old age.

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