If I think through this; 1. Price varies based on desirability of a location. 2. Desirability varies based on many factors, including proximity to a city cent

If I think through this; 1. Price varies based on desirability of a location. 2. Desirability varies based on many factors, including proximity to a city center or major business concerns, cost of living, crime rate, etc. 3. To optimize desirability until there is more desirable space than those who desire it would require optimizing the variables that contribute to desirability. 4. The potential result is desirable, ie proximity to jobs or cultural center, low crime, low cost of living, etc. A number of variables contribute to each of these, and those would require optimization as well. 4a. There will be a point of diminishing returns, where builders will exit a market when there are not enough buyers at high enough prices to make a profit. As soon as there is a hint of profit, the vultures will appear. 5. In order to prevent real estate speculation, we could impose a few laws: first, make lending at a profit illegal for all non productive enterprises; second, levy a land value tax that hurts enough that it makes owning non productive commercial property untenable to own; third, allow only individuals to own residential real estate, ie, eliminate the rental market entirely and levy use taxes for vacant homes (your real estate must be your home of record and must be your residence for some minimum percentage of time every year). This would destroy the real estate market entirely, and I don't think that would be a bad thing.