In the wider view, where most of the population aren't FAANG engineers, it does make sense though, as most of the younger population can't afford a mortgage at

In the wider view, where most of the population aren't FAANG engineers, it does make sense though, as most of the younger population can't afford a mortgage at all in a 'hot market', so the higher CoL is just lost. There's also nothing stopping you investing your excess income in other areas outside property.