[BurningFrog]

New supply in housing shortage area is expensive, for the same reason old housing is expensive there: THERE IS A HOUSING SHORTAGE!

Therefore, if you say it's bad to build new housing if it will end up being expensive, you're really saying there should be no new housing built during a housing shortage...

I find it's often better to think it terms of number of homes and housed people than in prices. If 100 new apartments are built, it's hard to say what will happen to prices exactly. But it's undeniable that there will be 100 more homes, and 200-300 more people can live indoors in that city, than without the project.