How does this make a talking point to use on anti-density folks? Is "we're already denser than you think" supposed to convince them of something?

Good. I hope the single family housing stocks continues to shrink and my little hole in the wall achieves San Fransisconian value. Then I can convince myself it is worth all of the headaches.

As @2 points out, density in the 21st century is a great way of driving up living costs in the city. See SF and NYC as evidence. More density will only account for the people coming into the region, not drive down costs. More money for less space. Though this is perhaps a nation wide problem, it's still important to consider.