There are height and density limits, so among the few options is to go down.
Not a whole lot of coverage that I'm finding, though there's a brief mention in this Palo Alto Weekly article (2018):
<https://paloaltoonline.com/news/2018/01/12/groundwater-spurs...>
If you search "palo alto basement remodel" you'll find a heck of a lot of contractor / services pages (enough to frustrate me looking for actual news coverage or mentions).
And a Crescent Park remodel involving basements across four properties:
<https://www.paloaltoonline.com/news/2016/05/26/zuckerberg-pl...>
Perhaps such a state does exist? Sibling comment seems to indicate California might not be one of them.
As for crawl spaces, they’re really common on older homes up here (central FL); I have one.
It's definitely possible to have basements, but it's something only the exceptionally wealthy would even bother with.
There's tons of basements in Oklahoma, you're starting to get out of the expansive soil areas I was talking about at that point. You're then also needing to worry about the frost line so your foundations would need to be deeper anyways.
I’ve heard people in Oklahoma say that basements can’t be built because the soil has too much clay, yet I’ve seen them in older homes there.
I’m starting to think that “basements can’t be built in X state” is some kind of pervasive urban myth.
Really wealthy people in Texas might have a basement; its not impossible! Some really old homes before slab-style construction might have basements as well. Or they might be living in the high deserts out in West Texas. But like easily 99.9% of homes built in the majority of Texas do not have basements. If I were to ask everyone I know if they knew anyone who had a basement at any time in any home they ever lived in, the answer would probably be "no" almost every time. Finding a home built since the 1940's in this area that's less than $10M with a basement is practically finding a unicorn. Except its an expensive unicorn needing constant maintenance.