> Families have different needs, size, ideas, money Lol no. Most people will take what is available that they can afford, or at least pick what they most like

> Families have different needs, size, ideas, money Lol no. Most people will take what is available that they can afford, or at least pick what they most like from what is available (you have to live somewhere!) The share of people who can afford to be very picky to the point of ordering a custom build or paying for a comparable existing home is small. And even if people demand it, it's hard for developers to build very unusual homes because they won't retain their value as well (and thus won't sell for as high a value initially) since the first owner may well like it but may have a hard time finding someone else who does. As a result people end up even guiding themselves partly from "mainstream" tastes when renovating their own homes, even if they genuinely do not like them, in order to ensure the renovation increases rather then decreases the home value. Elasticity of demand is really low because everyone wants somewhere to live that's better than the default alternative, living in a cardboard box (or these days, maybe a car) If the entire supply was shacks everyone would get one. If the entire supply was mansions, everyone would get one too (or stay homeless if they couldn't afford it) That was a small nitpick to be fair. Sites and local conditions are all so so different, and that's the real cause, as you explain very well.