We can also have option 4, which is to nullify zoning codes, some fire codes, deeds restrictions, among other things that stop houses from being built. We also

We can also have option 4, which is to nullify zoning codes, some fire codes, deeds restrictions, among other things that stop houses from being built. We also need to reduce HOA power at least temporarily, to allow various forms of expansion on the lots in single family homes (there is plenty of land to build a smaller house in most of those). Then we let the market take care of it, perhaps assisted by some small-scale government programs. House prices and rents will fall, which can hopefully put some private equity landholders with leveraged positions under water, forcing them to liquidate the houses. It is inevitable that some individual owners might be hit with this too, but a one time bailout can be offered. This can then trigger a large surplus in housing such that it starts to become more or less affordable again over a few years.