Today’s new-construction home buyers are more concerned with having properties that are personalized to their needs than having larger residences, according to a recent report from the National Association of Home Builders.
As home prices and mortgage rates have shot up in recent years, buyers are willing to compromise on square footage to secure other key amenities.
Newly built homes have been shrinking to their smallest sizes in 13 years. The average home was 2,479 square feet in 2022, then 2,411 square feet in 2023. Now, new construction could get even smaller.
“Housing affordability has been deteriorating, caused by skyrocketing prices of materials, lumber, labor, and lots. We also have high mortgage rates,” says Rose Quint, NAHB’s assistant vice president of survey research.
This is leading buyers to seek new homes around 2,070 square feet in size, according to NAHB. That’s likely because smaller homes cost less and are often cheaper to heat, cool, and maintain.
The top features homebuyers are looking for in new construction
NAHB surveyed about 3,000 prospective and recent buyers to figure out which features were the most important to them. While buyers might not be as focused on more space, there are some amenities on the top of their wish lists.
Here’s a rundown of respondents’ most desired features, plus some current real estate listings (both new construction and old) sporting these perks that you can buy right now.
Laundry rooms
Buyers don’t want to lug their dirty clothes to the laundromat or wash their delicates in a closet in their kitchen. About 86% of buyers surveyed said they wanted a dedicated laundry room, according to NAHB.
“Buyers want to put all those dirty clothes behind a door they can shut and not look at until they have time,” says Quint.
(Realtor.com)
Those looking for a spacious area to get their clothes clean can check out this brick ranch in Carmel, IN, on the market for $500,000.
Patios
This timeless outdoor amenity is key for buyers seeking to fire up the grill or just relax with friends in their backyard.
(Realtor.com)
This three-bedroom, two-bathroom home in Boca Raton, FL, has a covered patio and in-ground pool. The home is on the market for $450,000.
Energy Star windows
Homebuyers are increasingly concerned with environmental impacts and rising costs, so they’re turning to more energy-efficient features to cut down on heating and cooling costs.
“Buyers are very interested in the savings by paying for some of these features,” says Quint.
(Realtor.com)
This four-bedroom, two-bathroom home in Lubbock, TX, for $278,800 boasts Energy Star windows.
Exterior lighting
No one wants to lose their footing in the dark on their way to their front door. Buyers can install a few inexpensive solar lights along walkways or spring for a pricier outdoor lighting system.
Ceiling fan
This basic home accessory is a hit with buyers seeking cheap ways to cool their homes.
Garage storage
Since homebuyers are willing to compromise on square footage, they still need space to store their stuff along with their vehicles.
Front porch
Who wouldn’t love to relax on a porch swing out front sipping sweet tea and saying hello to passersby?
(Realtor.com)
Buyers can live out their fantasies in this five-bedroom, 3.5-bathroom home with a long front porch in Columbia, SC, for $268,000.
Hardwood flooring
This classic floor remains popular with buyers drawn to the sleek, beautiful simplicity.
(Realtor.com)
Check out the gleaming hardwood floors in this three-bedroom, two-bathroom home in Salinas, CA, for $650,000.
Full bath on the main level
As many buyers are hoping to age in place, they are looking for homes that can accommodate their needs as they get older.
Energy Star appliances
Similar to Energy Star windows, environmentally friendly appliances can help homeowners trim their power bills.
Walk-in pantry
This amenity, a mainstay on Instagram, is beautiful and functional.
(Realtor.com)
This five-bedroom, four-bathroom home on the market for $775,000 in Washington, UT, features an Instagrammable walk-in pantry.
Landscaping
Curb appeal matters to buyers, homeowners, and neighbors. Many buyers prioritize beautifully landscaped properties they can enjoy on their own and when family and friends come over.
(Realtor.com)
This new build for $409,990 in Grenata, NE, has a charming front yard.
Table space in the kitchen
Having an eat-in kitchen gives homeowners more flexibility with their space. As square footage shrinks, many homes might no longer have large, traditional dining rooms.
High-tech features
Security cameras, wired security systems, programmable thermostats, video doorbells, multizone HVAC systems, and energy management systems for the home are becoming increasingly popular.
