Chart: New Home Size Continues Upward Trend

Industry News,

Originally Published by: Eye On Housing — November 22, 2021
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An expected impact of the virus crisis is a need for more residential space, as people use homes for more purposes including work. Recent data confirms this impact on the market continues to occur.

Single Family House Size Nov 2021

Since Great Recession lows (and on a one-year moving average basis), the average size of new single-family homes is now 6.2% higher at 2,518 square feet, while the median size is 9.3% higher at 2,296 square feet.

Home size rose from 2009 to 2015 as entry-level new construction was constrained. Home size declined between 2016 and 2020 as more starter homes were developed. Going forward we expect home size to increase again, given a shift in consumer preferences for more space due to the increased use and roles of homes (for work, for study) in the post-Covid-19 environment.