one reason homes cost so much

The School of Life sheds some light on this problem.

Very high house prices aren't an act of God or a fact of nature. They're the result of all sorts of policy and design mistakes - which we should try to understand and correct.

“Bad architecture is in the end as much a failure of psychology as of design. It is an example expressed through materials of the same tendencies which in other domains will lead us to marry the wrong people, choose inappropriate jobs and book unsuccessful holidays: the tendency not to understand who we are and what will satisfy us.”
— Alain de Botton