"But in places where zoning regulations create artificial limits on home production, the final prices to home buyers jump far above construction costs. In the 1

"But in places where zoning regulations create artificial limits on home production, the final prices to home buyers jump far above construction costs. In the 1980s and 1990s, they found that virtually all of San Francisco’s home prices were at least 140 percent above base construction costs." The papers she's citing here exclude apartments from the analysis. They're talking about single-family homes: http://www.nber.org/papers/w8835.pdf http://www.nber.org/papers/w8835.pdf "The housing price data used in this paper to create the relationship between home prices and construction cost comes from the American Housing Survey (AHS). We focus on observations of single unit residences that are owner occupied, and exclude condominiums and cooperative units in buildings with multiple units even if they are owned" Probably not incredibly relevant to a discussion of rental prices.