A point about "why buy a house in America?": it has become a lottery ticket for an old-age pension, since pensions have been mostly destroyed.
Thanks for this detailed critique. There's a large cohort of people in America who take the position of "Gosh, there's nothing wrong!" and back it up with bad interpretations of data from folks like Horpedahl. It's why I like your income-to-housing expenses graphs for metro areas. They demonstrate how bad things actually are and also indicate how to make them better.