Evolution of the American Home

American homes are getting smaller. According to Realtor data, the average property size has shrunk by more than 6% since 2017, yet today’s houses are being divided into more rooms despite this.

Not only that, but modern living is seeing new types of rooms emerging in homes across the country. With these trends come the need for new interior design solutions, including maximizing smaller rooms with space-saving decor like collage frames that can display multiple photos at once.

To uncover how these shifts are reshaping the way we decorate, we’ve analyzed national and state-level housing data, explored trends across the 50 largest metropolitan areas, and looked at online search interest to track the rise of new kinds of rooms.

What is the average American home size, and how has it changed?

American homes have shrunk in size by an average of 6.3%, dropping from 1,976 square feet in 2017 to 1852 square feet in 2025.

Despite this decline in square footage, the number of homes with four or more bedrooms has increased by 17% in the same period. So while houses are shrinking overall in size, they are being divided into more rooms.

This means that kitchens, living areas, and bedrooms are often more compact, with layouts designed to fit more functions into less space.

Why homes are changing this way

Here’s what could be shaping this shift in home design:

• Rising costs. Smaller homes are rising, with almost two in five (38%) builders saying they build smaller homes now.1 This could be due to being quicker and cheaper to build, which helps keep prices within reach when land and materials are expensive.
• New household needs. Extra rooms are less about larger families and more about flexibility. A spare bedroom is just as likely to be used as a gym, as over 40% of Americans own a home gym or equipment.2 It could also be an office or study, with 35% of employees doing some or all of their work at home.3
• Buyer preferences. Properties with more bedrooms are still seen as attractive, even if those rooms are smaller, because they offer choice and better resale value. Experts say that converting an existing living space into a bedroom can have a return on investment of between 80% to 100%.4

In short, the modern American home is evolving to match how people live now: compact, flexible, and able to adapt to multiple purposes.

The states where homes have shrunk the most

The national figures show homes are getting smaller, but the shift has been far more dramatic in some states. Nine states have seen double-digit declines in median home size, with the biggest shrinkage in Hawaii, Colorado, and Nevada.

Decrease in median house size (in square feet) between 2017 and 2025 by state:

1) Homes are nearly 20% smaller in Hawaii than they were in 2017

Houses in Hawaii weren’t the biggest in 2017; only homes in the District of Columbia were smaller, but this hasn’t stopped them from shrinking even more. Between 2017 and 2025, the median home size in Hawaii dropped from 1,376 to 1,104 square feet – a 19.8% decline.

Due to land scarcity, costs in Hawaii are some of the highest in the U.S., at approximately $75,456 per acre, meaning building bigger houses often comes with unrealistic prices for many.5

2) Colorado’s once-spacious homes are shrinking faster than most of the U.S.

Colorado’s median home size has reduced by around a sixth (17.4%), from 2,528 to 2,088 square feet, between 2017 and 2025.

However, even with that reduction, Colorado homes remain comparatively large. At 2,088 square feet, the typical property is still almost 12% bigger than the national average of 1,852 square feet in 2025.

3) Nevada homes have lost 14% of their space in less than a decade

Nevada homeowners now live with nearly 300 fewer square feet on average, falling from 2,124 in 2017 to 1,827 in 2025. Part of this downsizing could be due to the location.

The desert climate adds practical incentive for smaller homes - lower energy costs. Cooling bills in Nevada can be substantial, and downsizing square footage could help buyers save on utilities in the long term.

The cities with the biggest cuts to living space

When you zoom in on America’s cities, the scale of the downsizing is even higher. In places like Denver, Charlotte, and San Antonio, the average home has lost more than a fifth of its square footage since 2017.

Decrease in median house size (in square feet) from 2017 to 2025 by metropolitan area:

1) Homes in the Denver-Aurora-Centennial metro are almost 26% smaller than in 2017

The average home in Denver-Aurora-Centennial has slimmed down from 2,883 to 2,142 square feet, shedding approximately 740 square feet or over a quarter of its size.

The Denver metro area has a high demand for houses. In 2024, the estimated deficit reached 135,139 units.6 Because of this, the size of homes being built may have needed to shrink to accommodate the higher number needed.

2) Charlotte-Concord-Gastonia houses are now more than 560 square feet smaller

In the Charlotte-Concord-Gastonia area, median home size has decreased from 2,590 to 2,021 square feet, a drop of about 560 square feet. This square footage is roughly equivalent to losing two living rooms.7

These numbers could continue to fall over the next few years, too. Charlotte is expected to be among the U.S. cities building the highest number of new apartments, at an estimated 12,365 this year alone, likely to house young professionals, families, and remote workers.8

3) The typical San Antonio-New Braunfels home has lost more than 20% of its square footage since 2017

Between 2017 and 2025, houses in San Antonio-New Braunfels shrunk by 525 square feet, from 2,479 to 1,954 – a 21.2% reduction.

‘Tiny homes’ designed for single families have become quite popular in San Antonio. Various construction sites are building two to three-bedroom houses with the same square footage as an average studio apartment, costing around $150,000.9

The states where homes are getting bigger

While the overarching trend is that homes are getting smaller, a handful of states are heading in the opposite direction.

Increase in median house size (in square feet) between 2017 and 2025 by state:

1) Nebraska homes are nearly 12% bigger than in 2017

In Nebraska, the median home has grown by 11.7% (229 square feet), from 1,929 to 2,154, since 2017.

The average cost per acre of land in Nebraska is around $9,000, more than 71% lower than the national average.10 This means that developers and homeowners in this state have the freedom to build bigger homes without incurring as high bills as elsewhere in the country.

2) Rhode Island homes have grown by just under a tenth in eight years

Despite being the smallest state in the country, Rhode Island has seen its median home size increase from 1,700 to 1,863 square feet, which is a 9.6% jump.

Zoning laws mean that most family homes in Rhode Island require a minimum lot size of one acre or more.11 This is more than double the necessary lot size in places like Denver, Colorado, which has seen the median house size reduce the most (-25.7%).12

3) North Dakota homes are almost 9% larger than in 2017

The typical North Dakota home is almost a tenth (8.9%) larger today than in 2017, expanding by 178 square feet. This means the median house size has gone from 2,000 to 2,178 in 2025.

One reason for this could be the state's low population density. With only 11 people for every square mile, fewer houses are needed than in more densely populated areas.13 This means that developers have more space and can build larger homes.

The cities where houses have grown the most

Not every metro has followed the downsizing trend. In fact, some have seen significant increases in square footage, with newly built homes offering noticeably more space than they did eight years ago.

Increase in median house size (in square feet) between 2017 and 2025 by metropolitan area:

1) Homes in Providence-Warwick are more than 12% larger than in 2017

In Providence-Warwick, the average home has gained more than 200 square feet since 2017. Eight years ago, houses in this metro area were nearly 16% smaller than the U.S. average.

However, these expanding homes do come with a large price tag, too. This metro area is among the most expensive to buy a house in, with an average cost of $604,950.14

2) The typical Cleveland home has gained more than 170 square feet since 2017

Although Cleveland homes are still not within the top 20 biggest in the U.S., homeowners in the area have gained an extra 176 square feet since 2017, which is more than a 10% increase.

The housing market within the state is relatively affordable, with the median single-family home price of $248,600 in Ohio.15 This affordability allows developers to build larger residential sites without making buyers stretch their budgets.

3) Houses in Baltimore-Columbia-Towson are almost 8% bigger than in 2017

Homes across the Baltimore metro have grown by 131 square feet in the last eight years, rising from 1,728 to 1,859 in 2025.

However, this is just slightly bigger than the national average of 1,852 square feet, so the increase in square footage may just be a case of homes in this area catching up with the rest of the country.

Which types of rooms are increasing in popularity?

It’s not just the size of American homes that’s changing; the way space is used is evolving too. Google search data shows a surge of interest in new types of rooms, with some doubling in popularity in just a few years.

U.S. search volume by room 2021 to 2025:

Reading rooms have surged in popularity in recent years, with searches up over 105% since 2021. More than ever, people are carving out quiet nooks for themselves, whether it’s a whole room or just a corner with a comfortable chair and layered lighting.

Wellness rooms are also gaining traction, up almost 40%, as homes adapt to support health and self-care. These spaces often blend exercise with relaxation. Yoga mats and weights on one side, soothing colors and soft lighting on the other. Here, wall decor plays a role in setting the tone. Framed posters or abstract art can transform a spare bedroom into a personal retreat.

Elsewhere, familiar spaces are being reimagined. Playrooms (22.3%) are family essentials but can also double as hobby zones or study areas. An increase in the interest in music rooms (14.6%) also shows a desire for creativity at home.

Design tip:

Show your own creativity through music-inspired art

Thinking about setting up your own music room? Start by making the walls sing.

Framed vinyl records bring a personal touch and instantly set the mood, whether you’re curating a full room or carving out a cosy corner.

Pair them with posters of your favorite concerts or photography of iconic artists to create a space that feels inspiring, creative, and uniquely yours.

Tips on how to best decorate your home, whatever the size

Homes are evolving in many different ways. Some houses are getting smaller and split into more rooms, while others are opening up into larger, flexible spaces. These varied layouts mean design choices need to be tailored rather than one-size-fits-all. Here are some tips to help make the most of your space, however much you have:

1) Make small rooms feel taller with vertical framing

Every inch counts in smaller homes, including the walls. Vertical framing is a clever way to give the illusion of extra space without any structural changes. Hanging framed photos or prints arranged above one another naturally draws the eye upward, making ceilings feel higher.

This technique works especially well in tight areas that can otherwise feel overlooked, like narrow hallways, alcoves, or the wall space beside a doorway. You could also incorporate collage frames to add some personalization and sentimental value where wall space is too limited for multiple frames.

2) Go bold with statement art in bigger rooms

In bigger homes, large walls can easily feel empty or overwhelming if left bare. This is where oversized framed artwork comes into its own, creating a focal point. A single, dramatic canvas can balance scale and add instant impact.

Don’t be afraid of bold colors or abstract designs either. They help to prevent the space from feeling too sparse or impersonal in expansive rooms.

3) Design for multi-purpose living

Shrinking homes and larger, open-plan designs alike are driving the rise of cross-functional spaces, with many rooms now often having dual purposes. But with thoughtful interior design choices, you can create distinct ‘zones’ that divide and maximize each space without putting up walls.

For example, homeowners with home offices or reading nooks tucked in the corner of their dining or living rooms can accent that portion of the walls with a different paint color and well-chosen wall decor to create visual boundaries - a room within a room. Framed posters are a great option for this, helping to set the tone of the space.

Framed Keplar 16b poster designed for NASA's Jet Propulsion Laboratory

Methodology

Level Frames is an online custom framing service that offers an end-to-end experience for framing your best photos, artwork, vinyls, and more.

The service helps you transform your home in just minutes by framing special moments and memories in handcrafted, museum-quality frames that ship right to your door.

As a brand deeply rooted in interior design, we wanted to see how housing has changed over the years. To do this, we collected data on the median house size, average number of rooms, and the types of rooms that are becoming more popular.

Changes in home size and number of rooms

Used Realtor to find each state's median house size (sq ft) and the 50 biggest metropolitan statistical areas (looking from July 2017 to July 2025).

Ranked each state and major city based on how much the above have changed over the whole period.

Shift in room types and layouts

Used Census data to find the number of homes nationally with 1, 2, 3, and 4 or more bedrooms. A weighted average was then used to estimate the average number of bedrooms per home. This was done for 2017, 2019, 2021 and 2023.

The same source was also used to source:

• Percentage of homes with separate dining rooms
• Percentage of homes with 2+ living rooms or a recreation room

Looking at the same years as above.

Rise of new room types

Used Google Ads Keyword Planner to analyse search interest for the following room types:

• Gaming room
• Playroom
• Music room
• Reading room
• Home cinema
• Wellness room
• Hobby room

For each, we took the number of US searches between July 2021 and June 2025 and calculated the total and the increase.

Sources

1. National Association of Home Builders
2. Statista
3. BLS
4. Angi
5. Go Banking Rates
6. Common Sense Institute
7. The Spruce
8. Rent Cafe
9. San Antonio Report
10. Land Search
11. HousingWorks RI
12. Denver Government
13. World Atlas
14. Investopedia
15. Bankrate