A socialized housing market replaces exorbitant prices with a lottery; public-subsidized housing in Stockholm has a waiting list of years. The way to stabilize the demand curve is to increase to supply.
Socialized housing is a management technique. It does not inherently create housing. Read about Stockholm's situation if you are interested in learning about the topic.
It is indisputable that there have been successful socialized housing schemes. It is also indisputable there are successful free-market housing systems; for example, Minneapolis.