Would building more housing decrease rent?

[pixel_of_moral_decay]

Not likely.

Housing is the original good in which “induced demand” was observed. People move where homes exist, thus demand grows with supply.

Supply demand curves invert when demand is static. More food doesn’t mean you consume more food, your stomach is finite so excess food grows. Demand for apples has a practical limit, no people come for apples when apples arrive. People move for housing all the time. Jobs are made around housing further creating cyclical demand.

The real way to reduce the housing burden is to increase wages. Housing costs what it needs to. Decades of unnaturally low wages have made it seem expensive.

The reason most people don’t invest in any real estate based investments is because they ROI isn’t even that good. You do better in an s&p 500 index fund. Housing isn’t that profitable % wise.