I don't think it unreasonable that you are the one who has to make the case how that would work in this discussion. Because I see very little evidence, in the US or even in the rest of the world, that it would be realistic to expect that to happen. If anything high prices is often a result of going the other way (by e.g. favorable tax rules).

Why would anyone build family housing or buy it there then?

Renting sure. But purchasing house means a lot more than "this is my square". Amenities, schools, the community are all directly tied to what your house is worth and it is an investment.

If I'm putting down a million dollars on a house and you decide my local gov. elected representatives are going to be superseded on local governance I'm not going to be very happy.

Lol. Your vaunted local representatives are superseded on everything from their airspace (FAA) to their property tax rate (California Prop 13). This isn’t some unprecedented infringement of local control.

Lol there is a precedent for the regulations in place that you are after to be handled locally. Lets just take all the things and federalize it until I get my way.

Perhaps you could clarify about what "take power away from those who own housing means". Does it mean, own a house, lose the right to vote?