In recent years, the housing market has faced significant challenges characterized by a shortage of available homes for sale. However, a contrasting trend has emerged: an unprecedented increase in the number of unoccupied bedrooms across the United States. According to a report by Realtor.com, the amount of excess space within homes, particularly in the form of extra bedrooms, has reached the highest level in recorded history. With a staggering 31.9 million extra bedrooms documented last year—an increase from 31.3 million in 2022—this phenomenon raises critical questions about the current housing climate and societal preferences.
At the root of this situation is a notable decline in the average size of households. Census data illustrates that the number of people residing in a typical household has dropped from a peak of 3.1 in 1970 to a low of 2.5 in 2023. This reduction in household size has contributed significantly to the surging number of extra bedrooms. Ralph McLaughlin, a senior economist at Realtor.com, identifies two major factors driving this trend: the increased size of homes and the decreasing number of individuals within those homes.
The “McMansion” era, which began in the 1980s, saw homes grow larger, leading to an uptick in the average number of bedrooms—from 2.5 in 1970 to 2.8 in 2023. Despite the apparent stagnation in construction trends over the last decade, the excess room phenomenon persisted, revealing a disconnect between consumer demand and housing development that could either reflect genuine preferences or simply the limits of available inventory.
Regional analysis conveys that these trends are not uniform across the country. Areas such as the Mountain West and the South report the highest concentrations of excess bedrooms, primarily due to the availability of land and larger floor plans in these regions. In contrast, urban environments display a starkly different scenario, where space is scarce and homes are often designed for efficiency rather than extra room. The implications of these regional differences suggest that homebuying decisions are influenced heavily by local economic conditions and cultural preferences.
McLaughlin warns against concluding that the extensive building during the McMansion era was an unqualified success. If consumers are now simply tolerating the larger homes available to them, it could indicate that previous assessments of housing demand were overly optimistic. Conversely, if people genuinely value the extra space, this presents an opportunity for homebuilders to cater to a market that prioritizes room and comfort.
Market Insights: Where Are the Extra Bedrooms?
The report outlines specific markets with notable percentages of extra bedrooms. For example, Ogden, Utah boasts an impressive 12.2% of total bedrooms classified as excess, followed closely by Colorado Springs and Salt Lake City. On the flip side, cities like Miami, New York, and Los Angeles exhibit the lowest percentages, in the realm of 5.9% to 6.9%. These statistics not only highlight the geographical disparities in housing space but also serve as an indicator of potential urban housing crises in high-demand metropolitan areas.
This disparity raises questions about affordability and living conditions in urban centers. As the housing market remains competitive and prices soar, many individuals may find themselves in tight quarters, while homes in less dense areas offer vast expanses of unused rooms. Understanding the motivations and needs of today’s homebuyers will be crucial for real estate developers and city planners alike.
Looking to the Future: Implications for Homebuyers and Builders
The growing number of extra bedrooms signifies a complex interplay between consumer desires, economic realities, and urban planning challenges. As the trend continues, it’s essential for stakeholders—including homebuyers, builders, and policymakers—to address the implications of excess space. It may require a reevaluation of housing designs and more thoughtful integration of urban living solutions that respect the changing dynamics of households today.
The remarkable rise in empty bedrooms across American homes underscores a shift in societal values and housing needs. By critically analyzing these trends, we can better understand the landscape of contemporary real estate and its impact on future development.