My point is that right now there can only live x amount of people close to FAANG headquarters due to traffic and SFH. If significantly more people could live he

My point is that right now there can only live x amount of people close to FAANG headquarters due to traffic and SFH. If significantly more people could live here the value of the remaining SFH would go down, at least I think so. My theory is that SFH value is high because some people just want to live here, and some people want a SFH, and some want to invest. For the first group other forms of housing would be OK, and when they stop competing for SFH value at some point it stops growing so insane. At that point the third group might quit as well. I am not talking about land value/unit, but land value on average in the bay area. Or other places with zoning restrictions.