During the pandemic, U.S. house prices surged unexpectedly due to a combination of low mortgage rates, high demand, limited supply, and cautious homeowners not listing their properties. San Francisco became the priciest market due to its tech-driven economy. Normally, house prices rise when demand outstrips supply, influenced by zoning regulations and local opposition to development. The pandemic's effect on supply and demand, coupled with low mortgage rates and hesitant home sellers, led to increased house prices despite economic hardships.

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