> It generally does not drop values, just allows for cheaper options.

That can only be true if you suppose that the current values aren't driven by supply and demand. How do you propose to explain that?

"drop" is doing a lot of work there; as these things are slow and take time, the "drop" is often a reduction in the rate of appreciation (which, everything else being the same, should roughly be equal inflation ± some fudge factor for desirability of the area).