The problem is that when you stop building housing, the old, crappy housing increases in value. The investors then start purchasing these units and, if they want, gut them and make the interiors modern. Everyone else is priced out.<p>Look at New York. People are paying thousands a month to live in crappy 19th century tenements that used to be in dangerous and poor neighborhoods.<p>Really, you can&#x27;t win by not building housing. &quot;Them Chinese are buying our housing! Let&#x27;s stop building housing! That&#x27;ll show them! Now instead of owning 0.1% of housing, they&#x27;ll own 10%!&quot; How does that make sense?<p>The foreign investors aren&#x27;t going to buy 100% of a city. They can&#x27;t afford it; the total property value of NYC alone is over $800 billion. As they buy, value goes up. If we let builders respond to this demand, they will keep producing new units to make up for foreign investors. They don&#x27;t have infinite money, so stop pretending they do.