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Why there is no housing shortage
There is an artificial shortage of homes but not an actual shortage. The artificial shortage has been caused by buy to let landlords acquiring huge property portfolios of 1/2 bed flats mostly on high gearing.
The economic argument to back up this is a simple one of supply and demand. If there was an actual shortage of homes then rental amounts would rise which they haven't done.
Housing Demand
Everyone needs a place to live, either it is an owner-occupied property or rented accommodation. The price paid for property is partly determined by the supply and demand.
Housing Demand = Genuine Need for Shelter + Speculative Demand