There is another piece that makes real estate a very bad investment (now)

"Real Estate" the name, and all that is associated with that.
The King's Estate. (Real from Spanish. Like in El Camino Real)

It basically means, all the property is gone.
And the new generation have to outbid every previous generation to get a place to live.

Why do we have the mentality that those who are least capable, those who just left school, should be burdened with the biggest hurdle?

We, as a society, should have property for new adults.
I do not know how we do it, especially in the current paradigm. But we better figure it out quick.