This morning I was watching the Today Show and they were discussing the death of the McMansion. According to their resident real estate expert buyers no longer wanted larger homes. She even indicated that there was a trend towards a tiny home (approximately 70 square feet).
These segments often get on my nerves because they make sweeping generalizations about the market as though they are truths everywhere. Here in Maryland, I work with many first time buyers interested in buying homes under $150,000 and I have yet to find someone who would even consider a 70 square feet home.
In my opionion, buyers are mostly buying smaller homes because that's what they can afford. When I go out with buyers I often hear them complaining about the size of the bedrooms and wishing they were bigger.
What they want is a smaller price tag, a smaller mortgage, but not really a smaller home.
I also hear many of them wanting a formal dining room - though I agree with the segment that indicated that living rooms are not as important if there is a den or family room.
The other reason I see for the trend towards smaller homes is that the buyers driving the market right now are first-time home buyers who are testing the waters of home ownership and may not NEED lots of space. Once they become move-up buyers and/or their families grow they will begin to consider some of the larger homes that are available.
My prediction is that the trend towards larger homes will re-emerge when the economic prosperity returns.
I must admit, that I live in one of those larger homes and I love it. Do I necessarily need all the space? No. But do I like having the space? Absolutely.
Prince George's County, MD has many of these so called McMansion communities and many of them continue to sell well despite the economic down-turn.
When I moved into my new home community in Upper Marlboro in 2008 we were one of only three homes on our street and about six homes in the section. Since then there have been at least 30 homes built and many of the remaining lots have been sold. Clearly the demand for the McMansions is still there in some markets.
I think the amenities available in these large homes including large master bedrooms, kitchen with islands, 2-3 car garages will continue to appeal to the buyer.
In June, Lenn Harley had written a post defending the McMansion and the owners who love them.
Prices for many of these so called McMansions have come down tremendously and what was once out of the reach for many buyers is now once again an option.
If you are interested in owning a McMansion give me a call so that we can find one that suits your needs.
McMansions In Prince George's County, MD
McMansions in Montgomery County, MD
McMansions in Charles County, MD
McMansions in Anne Arundel County, MD
McMansions in Howard County, MD
If you or someone you know would like information about buying, selling, or renting a home in Prince George's, Montgomery, Charles, Anne Arundel, Howard, and/or Baltimore Counties please contact Dr. Stacey-Ann Baugh of EOP Real Estate, LLC.
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Dr. Stacey-Ann Baugh
EOP Real Estate, LLC
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Good post - I agree with you - buyers want a small price tag. Lots of folks in my town trying to downsize however - simply because of the monthly bills and maintenance to keep up these beautiful spacious homes.
I saw that segment today as well. I though most of it was absolutly untrue for my market as well(southeast, fl.).Im with you all the way!!! Really good post.
Buyers will always want a smaller price tag.
And they will always want the grander things in life.
Homes like cars (suv) are filler with more options and toys than ever before.
Enjoy the day
I think Bigger Homes will stay in style with buyers. Many more people are working out of the home and want that extra space. Generally we do not have basements or functional attics in homes out here, so a 3 car garage is important.
Hi Stacey Ann- I am finidng that buyers of larger homes are still out there and want them but they are being hugely picky. The smallest detail can send them scurrying. Other than that I think the Mcmansions still have their place and will sell. Buyers dreams are still alive and when the time is right they will buy them.
Stacey....are you referring to those large homes we drive by when showing the buyers we have homes? Right now, the majority of buyers are in the low to mid price range. Did I mention LOW to mid price range? When the economy turns, opulence will return. Everybody dreams.
There are some areas that will always have HUGE homes for sale. Howard County, the third richest County in the Country has many to offer.
Judy - With some of the newer homes the maintenance is not as bad
Joelle - thanks, I don't usually agree with her
Don - We all have champagne taste
Gene - I agree, we all want multi-functional spaces
Martha - i'm seeing those picky buyers at the really low ranges too
John - those are the same ranges most of my buyers are in too
Ellie - This area in general has many of those homes to offer
Hi Stacey-Ann, huge generalizations about the real estate market just don't fly. 70 sq ft??!!! are you kidding me? Anyway, we don't have many McMansions here, it is a different market, but I know of what you speak and people will always want them if they can afford them.
I agree with you totally Stacey. Smaller homes are selling now as it is the first time home buyers while others are sitting tight. I also live in a "McMansion" which is very common in most of the Minneapolis suburbs and it is still what many people want if they can afford it.
What is funny is that I stage homes all over the Twin Cities, and I know this is true all over the country, if the buyer would drive 15 minutes they could get double their square footage for the same price. It is all in what the buyer is willing to do. For me, a little extra drive in the car to have a large lot, privacy on a pond, 3 stall garage is worth it!
Mary - I can't even imagine 70 sq feet
Shar - I agree, i'll take a little drive to get a better house any day.