The current spike is mostly because of the interest rates. They will either come down or the house prices will eventually start going down. For now everyone just expects rates to go down soon, so nobody sells or buys houses.
There is a double whammy. Typically, someone sells their home to buy a different home that is better suited for them. Right now, there is a massive disincentive tp sell (as the seller would lose their sweet low rate 30 year). This depresses supply even more. In Canada, this isn't even a big factor (we don't have 30 year fixed rates) but shelter inflation is one of the biggest elements of inflation. I am surprised this is not causing inflationary pressure in the US.
In canada we have this crazy situation where there are homeowners that have the strata fees (homeowner association) that are e higher or close to their mortgage, that's because they bought 10 years ago, the home prices quadrupled, so their mortgage is extremely low, let's say for 200k instead of 800. So 1000$ payment for the home and 700$ for the strata fee. The strata fee for me it's negligible compared to the mortgage.
Construction has also been down, immigration has been up. Who would have thought these things have consequences.