If there are thousands of units built, but demand increases by tens of thousands, prices are not going to go down.
NYC is building at a much faster pace than SF, but according to the census on the order of 300,000 people moved into the city between 2010 and 2013. That is exerting huge demand pressure on prices even with the new buildings going up. The only way for prices to go down would have been adding housing stock for more than that increase - which didn't happen.
Comments
If there are thousands of units built, but demand increases by tens of thousands, prices are not going to go down.
NYC is building at a much faster pace than SF, but according to the census on the order of 300,000 people moved into the city between 2010 and 2013. That is exerting huge demand pressure on prices even with the new buildings going up. The only way for prices to go down would have been adding housing stock for more than that increase - which didn't happen.