> Cost of housing going up also increases the wealth of homeowners in the area. This is not purely bad.
The local government represents the current residents, not future ones. Raising house prices could be a windfall for current homeowners, but it could negative for the broader group of local residents, which will likely have a lot of renters.
Heavily inflated house prices could also be bad for the current homeowners, who may get stuck in their current home because they could no longer afford the price difference for a needed upgrade. Their kids may be forced to move away because they can't find homes.
The local government represents the current residents, not future ones. Raising house prices could be a windfall for current homeowners, but it could negative for the broader group of local residents, which will likely have a lot of renters.
Heavily inflated house prices could also be bad for the current homeowners, who may get stuck in their current home because they could no longer afford the price difference for a needed upgrade. Their kids may be forced to move away because they can't find homes.