What homebuyers need to know
American homes are experiencing a decrease in size.
Research compiled by Level Frames shows that from 2017 to 2025, the median home size in the U.S. dropped by an average of 6%, from 1,976 square feet to 1,852 square feet.
Colorado is seeing the second-fastest rate of home size reduction in the country, following Hawaii.
Between 2017 and 2025, the median home size in Colorado decreased by 17% from 2,528 to 2,088 square feet.
Despite this reduction, Colorado homes still remain relatively large compared to the national average, with a typical size of 2,088 square feet in 2025.
Homes in the Denver-Aurora-Centennial metro area have decreased in size by nearly 26% since 2017, with the average home size going down from 2,883 to 2,142 square feet.
Although homes are getting smaller overall, the number of homes with four or more bedrooms has increased by 17%, indicating a trend towards creating more rooms in smaller spaces.
Colorado homes are more spacious than those in Hawaii, where houses have shrunk by about 20% between 2017 and 2025.
Factors Driving Home Design Changes
The shift towards smaller homes is influenced by rising costs, evolving household needs, and buyer preferences.
Builders are focusing on smaller homes to reduce sale prices as costs of land and building materials rise.
Homeowners are creating extra rooms for home gyms or offices to accommodate the trend of working from home.
Homes with multiple smaller bedrooms are appealing to buyers for their versatility and potential resale value.
The Decline of Dining Rooms
Many homeowners have repurposed their dining rooms into offices, playrooms, or classrooms during the pandemic and have maintained these changes.
According to Realtor.com research, only 25% of listed properties feature a dining room, reflecting a decreasing trend in formal dining spaces.
The rise in single homebuyers has also contributed to the decline in formal dining rooms, with more interest in show kitchens, mud rooms, and luxurious laundry rooms.
The news and editorial staffs of JS had no role in this post’s preparation.
