The source of the value is mostly the land, rather than the building. When prices rise, it's actually the land value rising, but we talk about it like 'house pr

The source of the value is mostly the land, rather than the building. When prices rise, it's actually the land value rising, but we talk about it like 'house prices' are going up. Causes a guaranteed bubble as you can't make more land, so price rises are not followed by increased production causing the price to fall again.