Fewer New Homes Have 4 or More Bedrooms

January 15, 2020

A downsizing trend is occurring in new-home construction, with the declining number of bedrooms in newly built homes a solid sign of the change. The U.S. Census Bureau’s survey of construction data confirms that the number of bedrooms in the typical newly constructed single-family home is dropping.

The number of new single-family homes that were started with four bedrooms or more dropped from 44.8% in 2017 to 43.5% in 2018, continuing a trend that has been occurring since 2015, the National Association of Home Builders notes on its Eye on Housing blog.

The declining trend in the number of bedrooms has followed an overall trend of a decrease in new single-family home sizes, NAHB notes.

“These developments are linked to changes in preferences among home buyers,” the NAHB notes about the data on its blog. “With more millennials becoming prepared to buy their first home, the starter home share will rise, which means smaller homes and slightly fewer bedrooms.”

In 2018, the number of single-family homes that had been started with three bedrooms was the highest of all categories at 45%. Homes with four bedrooms followed at 34%, homes with two bedrooms comprised 11% of new builds, and homes with five bedrooms or more was at 9%.

New Homes Started With 4 or More Bedrooms Trends Lower,” National Association of Home Builders’ Eye on Housing blog (Jan. 13, 2020)