“1) Housing didn’t soar for 40 years. It kept up with nominal inflation. “
Inflation which has been in a constant upward long term trend for that time as well... so yes, housing has soared, compared to wages.
“2) Wages in real terms were stagnant for a long time, but not in nominal terms.”
If wages cannot purchase more than they purchased 40 years ago, then they are stagnant. There’s no way to rhetorically dance your way around that.
“Housing only crashes when you have a ton of foreclosures. That is extremely unlikely to happen this time.”
We shall see, but if they do not, then we’ll just be continuing on the same foolish path that any economy with undue government interference does.
Over the last 40 years, wages and housing have gone up nearly in-line, even if it didn't take the same exact curve to get there
If wages cannot purchase more than they purchased 40 years ago, then they are stagnant. There’s no way to rhetorically dance your way around that.
I am not disputing that but you are talking about nominal prices in housing and comparing to real prices in income - you have to do both the same way. Wages have not been stagnant in income on a nominal basis nor have that been with housing. Both have gone up roughly in line with inflation (slightly faster for both) over the last 40 years.