New Home Size Increases as Demand for More Space Continues
The size of new single-family homes increased in the second quarter, as the pandemic has sparked a need for more living space and people continue using their homes for more purposes, particularly teleworking.
The median size of a single-family home increased to 2,297 square feet, according to data from the Census Quarterly Starts and Completions by Purpose and Design and NAHB analysis. Average square footage increased to 2,540.
The median home size consistently rose each year from 2009 to 2015, as entry-level home construction was constrained. It then declined between 2016 and 2020, as more starter homes were developed. Home sizes are expected to increase again moving forward, given the shift in consumer preferences for more space in the post-COVID-19 environment.
NAHB Chief Economist Robert Dietz provides more details in this Eye on Housing blog post.
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