At least in my area, the cost of permitting and labor is such that it’s simply not worth building a house unless you can sell it for over $500k. Which means the

At least in my area, the cost of permitting and labor is such that it’s simply not worth building a house unless you can sell it for over $500k. Which means they’re only building large, 4 bedroom houses, most in the $750k range. The vast majority of prospective homebuyers cannot qualify for a loan that big. Meanwhile the rent on a 2 bedroom apartment is more than a mortgage on one of those houses. So guess why so many people are renting?