According to the Census Bureau’s Survey of Construction, the share of new homes started with 5,000 square feet or more of living space stood at 2.50 percent in 2020, down from 2.71 percent in 2019.  A total of 25,000 5,000+ square-foot homes were started in 2020, compared to 24,000 in 2019.  The declining number and share of  5,000+ square foot homes is consistent with the downward trends in the median and average size of new single-family homes that, as the quarterly published statistics have shown.

In 2015, the number of 5,000+ square feet homes started was the highest since 2007, and their share of the new market was the highest since the inception of the series in 1999. In the boom year of 2006, 3.0 percent or 45,000 new homes started were 5,000 square feet or larger. In 2007, the share of new homes that large increased to 3.6 percent while the total number that year fell to 37,000. In 2008, only 20,000 such homes were started, or 3.2 percent of the total.  From 2009 to 2012, the number of these large homes started remained well under 20,000 a year, accounting for less than 3 percent of single-family construction during this period.

When analyzed by the different characteristics, 87% of 5,000+ square feet home started in 2020 have a finished basement, 84 percent have a porch, , 67 percent have a 3-or-more car garage, 66 percent each have a patio and 4 bathrooms or more, 64 percent have a community association and 58 percent have 5 bedrooms or more.

Tags: eye on the economy, housing economics, single-family, starts