a) Housing is only a viable investment because of a shortage. If housing supply met housing demand, housing would be a depreciating asset. b) Investors turn ar

a) Housing is only a viable investment because of a shortage. If housing supply met housing demand, housing would be a depreciating asset. b) Investors turn around and rent/sell those houses, so they aren't actually eating into housing supply. What they are reducing the supply of is the bottom level of the rent seeking pyramid. Property ownership is simply so profitable that the average person now can't afford to buy in.