Prices rise because a certain proportion of workers are high income workers, and when you limit supply such that a region can't fit all its workers, that's who wins the bidding war for the house or who happily overpays for that ratty apartment and this process raises all boats over time. There's no backstop either; people on the low end of the economy end up paying more and more of their disposable income until they have to start putting bunks in bedrooms and living rooms to pay the rent on their wages. Only middle class people can afford to move to a lower cost of living area since moving as high upfront costs with sometimes no prospects of a job at the other end so you need a savings to float for some time.

Or perhaps because one corporation is outbidding a million normal people for 100k homes?

Sounds a bit like zillow buying up 100k properties for 200k and then selling them on a few weeks later for 90k.

I dont see that as much of a problem personally.

Well most of the companies doing this aren't completely harebrained and they actually capture rental markets, Zillow is an outlier

And this is exactly why the society should not subsidize rental living in any way and heavily make it a priority to help private people to buy and maintain ONE house for themselves. Just taxing rental predators out of the market would be a good start, there's no need to ban or outlaw anything. Then actions like giving huge tax exemptions for both the seller and buyer if it's between private persons and the buyer is going to live there would actually send the good signal for society.

However, after all tTis whole thing is just another reason to live in rural areas because rental predators are pretty much non-existent. Of course not everyone is so privileged, but those who are should seriously consider leaving cities for their own good.

It's more like corporations and individuals and rich foreigners outbidding a million normal people for the house in worthwhile cities that are $1.5m+

It wouldn't be such a good investment if the supply wasn't constrained. If you want do devalue the dollar, print more. If you want to devalue the housing market, make it legal to build more.