Posted on 05/25/2009 9:46:17 PM PDT by Lorianne
As lifestyles downsize and the economy suffers, developers are building smaller, cheaper models. __
The Terraces subdivision here contains rows of 2,000-plus-square-foot homes appointed with sunken tubs, granite countertops and tile floors that stare off into open desert.
But as the economy has contracted, so have the homes.
The development will soon be dotted with new 1,700-square-foot houses on narrower lots that retail for more than $100,000 less than their predecessors.
Though the square footage of new houses tends to dip modestly in recessions, the size of the American home has essentially increased since 1973. But that changed last year, when the size of the typical house suddenly shrunk by 11%. That appears to be faster than at any time since the 1970s.
"People are realizing, 'Hey, I don't need the Lexus anymore,' " said Wayne Eide of the Development Group, builder of the Terraces. " 'I can live with the Camry.' "
The National Assn. of Home Builders recently surveyed its members and found 90% of them are building smaller now. Developers cite many factors: increased energy consciousness, empty-nest baby boomers looking to downsize. But the strongest motivator is clearly the sagging economy.
About half of all homes sales are now foreclosures that retail at a big discount. Home builders, hemorrhaging money, are trying to compete by building smaller, less-expensive models.
"A lot of the movement of home builders to smaller homes is because there's no choice," said Eric Landry, an analyst who follows builders for Morningstar. "For people who build homes, it is the Great Depression. They're basically in survival mode, so they do what they have to do."
(Excerpt) Read more at latimes.com ...
The size of our home hasn’t changed at all....
I’d love to sell my house right now and get the hell out of MA but with all the forclosed houses around i might as well forget it.
I hate it here.
LOL. We bought a 1,750 sq foot, 4 BR rancher in 1983 on the San Fran peninsula that was built in ‘53. When it was built, it was 50% LARGER than the average home! We’ve raised our three kids here. It’s nice to know we are way ahead of our time! I love being in the vanguard.
neither has ours. and i wouldn’t think about trading the Beemer for a Camry thank you very much. Stupid article.
They’ve were writing about smaller homes as trends before the housing crash. So I think you have been way ahead of the times for quite awhile now.
ours did... we moved from a 4,000 sq.ft. home to a 2,400 sq.ft. home... but we gained 1.5 acres... so it was actually an upgrade...
You still have us. ;-).
acreage :-D. Sounds like a nice move.
Mine, either ... but when the 18-year-old drama queen leaves home next month, it will *seem* much bigger!
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