Americans want smaller houses with their own office in them

New York - Home theaters are a thing of the past; the trend is now home offices. The crisis in the American real estate market is leading many homeowners to downsize their homes not only in terms of size but also in amenities. However, customers are still willing to invest in energy-efficient technologies, as highlighted by a recent survey from the American Institute of Architects (AIA), reported by Reuters.
    Americans are trying to avoid unnecessary expenses, making them less interested in rooms designated for hobbies or games, workshops, home theaters, or apartments for nannies or relatives. Compared to last year, gyms, laundries, and large garages for three cars are also losing popularity. This change is related to concerns about maintaining property values, tighter family budgets, and the threat of job loss.
    "What’s at stake is what people can afford. Homeowners are not spending on extras, especially when it’s uncertain whether they will get paid for them if they sell," said AIA's chief economist Kermit Baker.
    The survey shows that among spaces designated for specific purposes, home offices are gaining the most popularity. While last year only five percent of surveyed architects claimed this, this year it’s already 46 percent. This is likely due to the availability of telecommunications connections and the increase in self-employed Americans. The number of very small business owners who have had to leave their previous offices due to financial reasons is also growing.
    Among Americans, there is a rising interest in projects that account for energy savings. Two-thirds of architects say their clients request higher-quality insulation that will reduce heating and cooling costs. Others are asking for triple-glazed windows, water-saving devices, and solar collectors.
    The AIA conducts interest surveys every three months, and in the most recent one, 500 architectural firms specializing in residential development responded to the questions. Consideration was given not only to new home projects but also to renovations of old ones.
    For instance, the March survey demonstrated a decrease in interest in luxury kitchens and bathrooms.
    Last year, a poll indicated that for the first time in 13 years, the average size of homes has decreased to approximately 220 square meters. This trend has intensified this year. Baker states that the crisis is bringing smaller homes, and even after the economic recovery, a return to large residences is not expected.
    The AIA published its latest survey amid a gradually improving situation in the American real estate market. Architectural firms are also slowly beginning to recover from the financial downturn, which was at its lowest in the last quarter of last year.
    Next month, the $8,000 tax incentive for home buyers, which contributed to the market recovery, will expire. In August, the highest number of new homes was built or building permits issued in the last nine months. July marked the third month of rising home prices.
    The AIA's accounting index for residential homes, considered an indicator of construction activity, reached 38 points in the second quarter of this year, which is 18 points higher than six months ago. The number of applications for new projects and finishing works has also increased.
    The AIA anticipates that residential construction will be the first to recover from the recession, while luxury homes and cottages will remain the weakest link in the market. Since the decline in interest in real estate began four years ago, first-time home buyers are regarded as the most valuable customers. "They help build a good and healthy market. These people buy newly constructed homes, previously occupied dwellings, and luxury residences. They create a range of properties across the spectrum," Baker said.