You're looking at one of the oldest, most capital-intensive markets in existence. It's practically the polar opposite of technology. Not a whole lot startups can really do.

> Specifically, I'm wondering why there are no cheap modular houses (like in movie ex machina). Houses that are mass produced, cheap and relatively easy to ship and assemble but configurable.

Well, that's easy to answer. In most real estate transactions, the cost of the underlying land is going to be the dominant factor, the house is just a value-add, the equivalent of buying a soda with your meal.

Modular houses themselves are at a disadvantage because it's not the cheapest way to put homes on land. Modern stick-framed houses are so cheap to put up these days that once you factor in the R&D, transportation and specialized installation costs, factory-built modular homes are at a severe disadvantage. Construction workers are literally everywhere, the labor is so cheap that it's practically a non-factor.

Also, it's easy to over-build. If developers create a glut, nobody's going to make money for a long time. Prices don't really come down during a glut because the developer would rather let the house sit than sell at a loss. So you get a lot of empty housing stock sitting around.