There is no housing shortage, there are more vacant homes than total numbers of homeless in the US. It’s just that capitalism creates a permanent underclass.
The same thing happens with apartments. They are vacant for a month between tenants or when finding new tenants. Landlords would never accept temporary tenants who couldn't pay.
People holding houses for investment happens, but most rent them out. The few that don't are pretty rare and not enough to affect the housing market.
lol.