builders would always prefer to build more and sell more, if a home costs me 200k to build and it currently sells for 500k but current regulations only allow me to build 100 of them then that's $3m profit (actual margins aren't this high).
if a law comes along that suddenly gives me the power to build 200 but the asking price drops to 400k i'd rather build 200 homes and net $4m
if a law comes along that suddenly gives me the power to build 200 but the asking price drops to 400k i'd rather build 200 homes and net $4m