As you said that total domestic demand hasn't increased as it was just a change in preference, I was implying that no one is arguing that the total demand for h

As you said that total domestic demand hasn't increased as it was just a change in preference, I was implying that no one is arguing that the total demand for housing in the United States has suddenly skyrocketed. The change in preference, as you called it, creates demand in specific areas of the US while creating a surplus in many other areas. I believe the impact of foreign investors has only increased the localized demand however they probably haven't done much to increase the overall demand for housing in the country.