>unit supply growth has not kept pace with the increase in demand.

​

​

​

Every house in my neighborhood is on a 1/3 acre lot and have seen home prices nearly 2x what they were about 5 years, and nearly 5x cost of the houses original real construction costs. But the city has not legalized one additional unit since 1950, when the neighborhood was complete. 5 fold price increase, 0 supply increase.

​

That is an elasticity of supply of....0. Perfectly inelastic. The city simply does not allow enough to housing to be built. Its baffling and frustrating.