So, the National Association of Home Builders released a report that says that buyers want smaller homes. For example, in 2003, a typical home buyer wanted 2,260 square feet (sqft). In 2023, 20 years later, that number
dropped to 2,067 sqft. That’s about 200 sqft less than 20 years ago. So, every decade, it seems like buyers want 100 sqft less. Homes are getting smaller, but in my opinion, it’s not because home buyers want a smaller house. It’s because of low affordability with high interest rates and high prices.
Here are some of the near future predictions:
- Low affordability is forcing smaller homes, especially for first time buyers.
- Smaller family size
- Less demand on large homes
- Predicting higher demand for smaller homes and/or larger homes with multigenerational living
The study shows buyers want smaller homes!?
I think it is a good thing, overall, to lower the building costs and home prices for more individual homeownership. Also, I would like to see more Multiplex townhome style buildings for better affordability for first-time buyers.
What are your thoughts on this?
Source: https://eyeonhousing.org/
Shawn Realty 