Building more quality houses certainly will change things.
In SE England, London and increasingly parts of SW England, with population growth and a fairly static housing stock, everyone has to 'budge up' and compromise. People in every socio economic group move into smaller and less attractive housing than their parents. That has been going on for decades, to the point that unless you inherit, experience massive economic upward mobility, or move to a gentrifying area, your quality of life will almost certainly be lower than the previous generation (in housing terms at least).
In other areas, Northern Ireland for example because I know it, there has been a great deal of building quality houses, so the housing stock has pretty much kept up with population growth. This means that, should they wish to, most people can afford to live in the same houses and areas as their parents. Obviously some choose to move out from Belfast to the countryside, where a lot of high quality new houses have been built. This takes the pressure off established areas, so their prices have not got out of hand.
Of course low interest rates mean that prices settle at a higher equilibrium price, as everywhere else, but 'average' people can still live in 'average' homes like their parents.
Also, there are no very large housebuilders in Northern Ireland, instead there is meaningful competition on quality between smaller housebuilders. And there is no shortage of skilled people, who are often to be found working on high end projects in London.
Also, not having Help to Buy has helped NI.
It is worth taking a look at the NI property portals to see what I mean, www.propertypal.com and www.propertynews.com (NI property tends not to be listed on the main UK portals).
NI has a more equal distribution of income and wealth (due partly to the undesirably enormous public sector), and there is not a huge disparity in house prices across the country. There are a couple of 'prime' areas, BT9, BT18 and parts of BT23 and BT34. But even these areas are not particularly special. Rents are generally exceptionally low for quality houses, due to the supply / demand relationship.
'Happiness' is also highest in NI of all regions, although not by as much as it was (possibly something to do with Brexit and not having a functioning devolved government). But having a decent home to live in greatly outweighs those factors. See -