Quote Originally Posted by iheartthed View Post
Ed Glaesser did a study in the late 1990s/early 2000s that linked the high housing costs in New York and California to the regulations on new housing construction. Even though a place like Manhattan does have geographic restrictions, it's actually the regulations on building in the region that push up the land values. Manhattan itself could overcome its geographic limitations by allowing more high rise construction but this is heavily opposed by home owners because of the potential to depress property values.

The high housing prices may pose a high bar for entry but it also keeps the core stable in a slow growing region like New York.
Interesting! Thanks!