New Homes Are 11% Smaller but 74% More Expensive per Square Foot [LendingTree Study]

Newly built homes in the U.S. have gotten smaller in the past decade, while the average price per square foot for these homes has skyrocketed. 

We analyzed the latest housing data to find out how much smaller homes have gotten and where they're shrinking the most. Here's what we found. 

• New-home sizes have shrunk over the past decade, except in the Northeast. In 2014, the average new single-family home measured 2,707 square feet; by 2024, it had slimmed down to 2,404—an 11.2% decline. 
• The average price per square foot of a new house has surged over the past decade. From 2014 to 2024, the average price per square foot for new single-family homes sold in the U.S. rose by 73.6% from $97.25 to $168.86. 
• Smaller homes are making a comeback, but not everywhere. In 2024, 1 in 4 new single-family homes sold were under 1,800 square feet, up significantly from 17% in 2014. Meanwhile, the share of large homes (3,000 square feet or more) dropped from 33% in 2014 to 19% in 2024.  
• New houses sold remain spacious by historical standards, despite recent declines. Average square footage for new single-family homes climbed 17.3% over the 30 years—from 2,050 sq ft in 1994 to 2,404 sq ft in 2024—peaking at 2,724 sq ft in 2015.

You can check out the full report here: https://www.lendingtree.com/home/mortgage/home-sizes-study/