eli5 – Why is the cost of housing so high compared to wages?

Question

I see charts from the 1960’s – 2000 showing wages keeping up with the cost of housing. Then there’s a huge boom in housing cost. What factors caused the price to jump so high? Is it only the low interest rates, or did something else happen?

For example: [https://imgur.com/a/8HWIlqx](https://imgur.com/a/8HWIlqx)

Edit:

This guys just uploaded a video today answering the question I posted. He says a lot of the same things that you guys said too[https://www.youtube.com/watch?v=eL9DBjfhWAE](https://www.youtube.com/watch?v=eL9DBjfhWAE)

In: 50

Answer 1

Because people have chosen to live and buy as well as they can afford. Everyone wants to live in the best areas, close to work, schools, entertainment etc. And those areas are few, and the cost goes up.