If land was treated as the scarce asset it would fix a lot of issues. Land taxed appropriately would incentivize higher density housing in order for the econom

If land was treated as the scarce asset it would fix a lot of issues. Land taxed appropriately would incentivize higher density housing in order for the economics to work. We’re in a weird incentive trap (in the Bay Area anyway) where owners protected by prop13 have massive wealth and are incentivized to restrict supply. New owners that manage to over pay for a home are further incentivized to restrict supply to keep prices high so they’re not underwater. This is a bad feedback loop that creates real property scarcity. It’s also arguably a problem of regulation constraining the market’s ability to meet demand appropriately.