Home owners are desiring bigger spaces again, following five years of downsizing trends.
Average sizes of newly built homes increased 3.7 percent last year over 2010, according to U.S. Census Bureau data. That marked the first increase since 2007. And builders are reporting higher demand for larger homes this year.Â
A recent survey by PulteGroup showed that 84 percent of home owners between the ages of 18-59 have no intentions of downsizing, even among Baby Boomers.Â
"There appears to be a renewed sense of optimism in housing,â€ says Deborah Meyer, PulteGroupâ€™s chief marketing officer. â€œHomebuyers, regardless of their stage of life, still want and need larger homes. Consistent with our consumer research, the survey results show that today's buyers are equally focused on more efficient use of the spaces within their homes."
The need for more space may be coming from the growing number of people living under one roof, as multi-generations move in together.Â
A recent survey by the American Institute of Architects shows a higher demand for multi-generational housing. The survey also showed more home owners upsizing their current homes. Fifty-eight percent of architects reported higher interest in additions and remodels, which is up from 35 percent one year ago. Kitchen and baths topped the list.Â
While the desire for larger homes bodes well for home builders, â€œthey may also add optimism to the upper end of the market, and all those so-called "McMansions"â€”generally considered in the 3,000- to 5,000-square-foot rangeâ€”many of which lost significant value during the housing crash,â€ reports CNBCâ€™s Diana Olick.Â
Source: â€œMcMansions Return: Why Big Houses Are Coming Back,â€ CNBC (Dec. 17, 2012)
Home prices are beginning to rebound with some areas increasing from 3% to 16% over the past 12 months. If you have not done an accurate check of your homes value in the past year, our FREE On-Line Home Value Analysis tool allows you to see exactly what your home value is doing.
Itâ€™s not a guess or Zestimate like Zillow. These are actual Sold, Pending and Active prices.Â You can also see what home inventory levels area doing, Closed Sale price vs/ Asking Price and more!
It's absolutely FREE and there is no obligation. Fill out the form HERE to receive a real time MLS report on active and sold home in your area. See the sample report layout below.