Wood is a popular choice for smaller (1-3 story) residential buildings in areas that have large timber production and therefore cheapish timber. That's a minority of places, but in addition to the U.S., includes Canada, the Nordic countries, and Russia. It gets less practical for taller buildings, though, which is why the Finnish countryside has predominantly timber-framed buildings, but Helsinki doesn't.
Let's not forget Japan. They import lots of wood from Canada and most houses, temples are made of it. Turns out concrete is brittle, which isn't a great property to have during an earthquake. Wood is strong, light, and importantly, flexible.
There is a trade-off between permanence and sustainability. Mostly, though, lumber construction is only feasible in areas with lower population densities.
Take note that about 20% of the country lives in Earthquake Country, where just about all residential dwellings tend to be built of wood.