You're confusing some entities, often private equity or similar corporations buying assets, often to rent, sometimes just to park, being able to buy, and the general public being able to afford to buy. In many desirable metro areas, you need two high incomes (two people in tech or lawyers or finance) to be able to afford to buy anything. What about everyone else?

Why does everyone else need to live in a desirable metro area? That sounds infeasible with so few of them. If there was more desirable metro areas, the prices of those few wouldn't be so high.

> Why does everyone else need to live in a desirable metro area?

Jobs, mostly. Along with increased access to all the things people like, like food, other people, activities, etc.

> Why does everyone else need to live in a desirable metro area

Because if nothing else (and there is a lot of else) the tech/lawyer/finance folks want to have restaurants, shops, cinemas, street cleaners, utilities etc etc etc etc

Then they should be ready to pay higher rents for it, because everyone else also wants the same thing.

> often private equity or similar corporations buying assets

What proportion of housing do they own? I would assume it’s pretty small if still significant.

Huge percentage nowadays. Lately private equity is making 30-40% of all single family home purchases in the US.

https://www.washingtontimes.com/news/2024/mar/15/in-shift-44...

It has become out of reach for an increasing number of people all around the world. Look at the ratios of price to annual salaries and many have risen a lot.

US: https://www.jchs.harvard.edu/blog/home-price-income-ratio-re...

> If people couldn't afford houses, they would sit unsold until sellers lowered the price to a price someone could afford.

This is fundamentally not the case in much of China and Taiwan where the wealthy sit on empty homes for years or decades. The housing price in Taipei continues to climb while a large number of units sit vacant.

Some people, and a lot of private investment.

Apparently there are more people with money than there are houses. So don't tell me people cant afford houses. Tell me that there are so few houses that they are overpriced or something, and only the top 25% can buy them.