Think this should be qualified to:
Cheap houses near major cities are gone forever. This is due to the simple fact that land to build them can't be supplied. The infrastructure required to commute ever increasing distances is not keeping at the same pace as major cities currently spread.
Note as well, that the same is not true for apartments which are being built at ever increasing numbers. IMO there is no shortage of supply for apartments. Taking this into consideration,
I do think we will see many more people living in higher density buildings. Maybe we will see a trend to build more 2-3 bedroom properly sized apartments than the shoeboxes currently build for investors.
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