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I agree that home affordability may just be a supply and demand issue that is being made worse by state regulations.
As for the people problem, I seen no solution if you are not willing to use force on people. Locking them up is not the answer. Putting them in hospitals is not the answer, either. Killing them or letting them die is not good for the people allowing that.
Looking for the source of the problem would be the best we can do,
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I think it would be better to say what to do about the issue of housing/home ownership because homelessness has a different connotation.
i see two main issues:
also, because fiat is so broken and most people feel it, real estate is being used as an investment and savings vehicle, instead of just something to live in. then you have people from other countries buying up units in Western countries because the laws and protections are better
then finally, you have homeless in general which @SimpleStacker talked about.
when a person has a broken mind and soul and is being self-destructive, there's no magic thing anyone can do, other than invent a time machine and make sure they didn't have such a terrible childhood etc
i would be interested to know about homeless levels during the gold standard, pretty sure there were no tent encampments back then