Except the problem is we haven't been letting the free market sort it out. The market is highly distorted by laws which prevent development, which is why prices are so high.
Exactly. In the developed world the least free market is the real estate market. Free market extremists show up as NIMBYs at local council meetings. Progressives are no better, placing all sorts of rules on development in the name of fairness that only result in even higher prices and less development.
Zoning rules like height restrictions, floor area ratio, lot coverage, setbacks, parking minimums, square footage minimums, lot size minimums, and other zoning restrictions place extreme limits what can be built before we even mention exclusive single family zoning.
Zoning rules like height restrictions, floor area ratio, lot coverage, setbacks, parking minimums, square footage minimums, lot size minimums, and other zoning restrictions place extreme limits what can be built before we even mention exclusive single family zoning.