I'm personally not from the US, but rather from a city that ist often cited as an example for counteracting irrational prices on the housing market, Vienna. (Back in the 1920s, when rents for a new home where found to be unsustainable by meeting 25% of an average worker's wage – or what may be deemed more idyllic conditions nowadays –, the city decided to invested massively into communal housing.) Having said that, I think the major problem is that homes have been turned into assets and that the short term monetization of these assets, as in short term limited contracts and Airbnbs, is a major danger to established communities. (Depending on where you're coming from, this may be even a good thing, like in flexibilization of the work force, but it is somewhat disastrous for the general living conditions and social climate, even the buildings themselves – as there is no long term interest on the side of their inhabitants –, and only adds to general displacement effects.)
And this really seems like it's going to keep going that way in Austin. Any time I'm driving around, I'm passing under-construction apartment and condo buildings all over town. It's nuts. On my regular commutes, I pass probably 10-20 buildings, and just within a mile of me, there's maybe 5 multi-hundred unit buildings that are nearing completion.
Of course, because there are so many bedroom communities surrounding NYC. The people looking for a cheap place to stay when visiting NYC just stay across the river. Also, for AirBnB being "basically banned" there sure are a lot of them you can book!