> quality of neighborhood which is proxy for access to high paying jobs
In other words, the value of the land (which is to say, the value of the location). To be clear it's not the amount of land, it's the value of the land in particular places (especially urban land next to valuable jobs).
If you think land (location) isn't a big factor, perhaps you could explain why in the heart of San Francisco this 2,300 sq. foot EMPTY lot costs $2 million:
In other words, the value of the land (which is to say, the value of the location). To be clear it's not the amount of land, it's the value of the land in particular places (especially urban land next to valuable jobs).
If you think land (location) isn't a big factor, perhaps you could explain why in the heart of San Francisco this 2,300 sq. foot EMPTY lot costs $2 million:
https://www.fortressofdoors.com/content/images/2021/08/image...
While this 2,020 sq. foot lot right next to it with 3 beds and 3.5 baths costs $2.3 million:
https://www.fortressofdoors.com/content/images/2021/08/image...
(found those on redfin, personal information redacted but you could find your own examples easily)
Here's a map of the land value share of real estate for the whole of the united states: https://www.aei.org/housing/land-price-indicators/
And if you don't trust the American Enterprise Institute, you should look at Larson (2015) who says much the same thing:
https://www.bea.gov/research/papers/2015/new-estimates-value...