Supply and demand is never so cut-and-dry. People need places to live, even if they are too expensive to afford them. So people team up and live cooperatively. One of my friends went in on a mortgage with another person whom he was on good terms with. They’re not romantically involved or anything, but they live together as co-owners of a house that neither of them could hope to afford on their own in their wildest dreams.
That’s the lengths that people are getting pushed to these days, and it’s unsustainable, but the real estate conglomerations know exactly where the line is and they always make sure they are butting up against it, but never crossing it.