Or whatever the saying is. Let the market play out. People need to make a decision on what they’re willing to sacrifice to live somewhere. We all make that decision. Sometimes is a monetary sacrifice sometimes it’s a structural sacrifice. Personally I gave up on a 3 car garage so I could have a bigger yard and live in a great, if older, neighborhood.
Forcing artificial limitations will have negative consequences.
Then again, if a municipality wants to limit things from a local jurisdiction in fine with it since they will have to pay the consequences. Certain fair housing exceptions should still apply of course.