Homebuyers Seeking Better Homes, Not Bigger Homes

Homebuyers want better, not bigger, in 2024, according to a survey by the National Association of Home Builders.

The average home size shrunk from 2,479 square feet in 2022 to 2,411 square feet in 2023, which is the smallest average size in 13 years. The study found that homebuyers are looking for homes that measure around 2,070 square feet, which is a significant decrease from 20 years ago, when the desired size was approximately 2,260 square feet. This may be due to changes in housing affordability, as well as general homebuyer preference.

Thirty-eight percent of builders reported building smaller homes last year and 26% plan to build even smaller ones this year to try to increase affordable housing and provide homebuyers with what they’re looking for.

In addition to smaller-sized homes, many buyers are seeking design features that personalize their homes and make their homes unique to them. According to the study, the features that top buyers’ wish lists include:

• Laundry room
• Patio
• Energy Star window
• Exterior lighting
• Ceiling fan
• Garage storage
• Front porch
• Hardwood flooring
• Full bath on the main level
• Energy Star appliances
• Walk-in pantry
• Landscaping
• Table space in the kitchen

Additionally, more buyers are looking for technology such as security cameras, home security systems, programmable thermostats, video doorbells and more. Some other home features that continue to be popular include:

• Quartz or engineered stone for kitchen countertops
• Lighting control systems
• Outdoor fireplaces
• Outdoor kitchens
• Built-in kitchen seating
• Exposed beams

Overall, many homebuyers are seeking smaller homes that are personalized to them with energy-efficient and functional design elements.