The prices of smaller homes increase quicker than the prices of larger, more spacious homes.
Realtor.com examined which factors boost a home’s bottom line. Houses smaller than 1,200 square feet have appreciated 7.5 percent a year over the last five years. Homes larger than 2,400 square feet have only increased 3.8 percent a year. This trend is largely driven by first-time buying Millennials, and downsizing Baby Boomers.
In the same vein, homes with fewer bedrooms have appreciated faster than homes with more bedrooms. Modern/contemporary homes, bungalows, and traditional homes have seen the highest increase in prices, as have homes with features such as open floor plans, patios, hardwood floors, and fireplaces.
The feature that buyers most want to be close to is public transportation. Homes near train stations and bus stops appreciate 8.4% every year. They're usually located in more urban areas and are close to restaurants and shopping too.
Advertisement
Related Stories
Design
2023 BALA Winners: The Best of the Best
You'll find plenty of inspiration in these four award-winning projects from the Best in American Living Awards
Design
What Gen-Z Buyers Really Want in a Home
The fervor of planning for Millennials in the home building industry has now pivoted to Gen Z. So, what does this new generation want?
Design
4 Luxury Production Home Designs to Inspire
Yes, these are designs for production homes, but you won't find any cookie-cutter repetitive elements in this high-end selection