[burlesona]

This seems to me primarily about the wages versus cost of living in the places where construction demand is high. I would also point to this as a death spiral for a housing bubble.

The article mentions labor commuting from Sacramento to SF where the wages are higher, thus driving up prices in Sacramento due to lack of supply. That kind of domino effect eventually makes it so SF can't get labor because the labor has shifted to live 90' outside of Sacramento and commute there instead. At some point wages do have to go up, driving up costs further in a vicious cycle.

I don't know when but I believe another broad housing market collapse is coming.