Yes, but you can never spend more than 100% of your income as long as your income is your primary means of obtaining money. In fact, I think most people would

Yes, but you can never spend more than 100% of your income as long as your income is your primary means of obtaining money. In fact, I think most people would have a hard time spending more than even 65% of their income on housing. Now, I can imagine an exponentially distopian world where 4 families are forced to live in a single house. In such a world, housing prices could rise faster than wages/inflation for quite some time, but not forever. There's only a finite amount of space inside a house. And at some point, you will run out of cubic feet of space (if disease and pestillence doesn't kill you first). In the infinite long run, those prices will only be able to increase as much as wages as long as wages remain the primary source of money.