The Muted Enthusiasm for McMansions in the DC Area
A home built by Niroo Masterpieces.
As UrbanTurf recently reported, the dynamics of demand in the housing market in the early 2000s looked quite different compared to today.
One nearly-forgotten phenomenon was the rise of the McMansion, once in high demand and the epitome of the suburban lifestyle. Now, Trulia has released a study examining how the premium to purchase a McMansion has dropped appreciably across the country.
To be sure, Trulia’s definition of a McMansion — single-family houses built between 2001 and 2007 that were 3,000-5,000 square feet in size, roughly 1.5 to 2.5 times larger than the median size of a new home in 2000 — is not perfect, as aesthetics plays an equally important role in the McMansion definition as size. The study compares the price of McMansions to all other houses in each market that do not fit both the size and construction time parameters given to McMansions.
story continues belowloading...
story continues above
The premium paid for a McMansion fell in 85 of the 100 largest housing markets examined between 2012 and 2016, and dropped 21 percent nationwide — from 138 percent in 2012 to 117 percent this year. Eight of the top 10 metropolitan areas where McMansions have fallen out of favor are in the state of Florida.
McMansions have taken less of a hit in the DC region, with the price premium dropping by 12 percent between 2012 and 2016. The drop is slightly more noticeable when examining the regional market over the past decade, as the premium fell from 76.1 percent in 2006 to 58.9 percent currently.
While all housing prices took a major hit as a result of the housing bust in 2008, the prices of non-McMansions have experienced a stronger recovery. That said, homebuyers have not completely lost their appetite for newly-constructed houses, which still fetch 20 percent more than their older counterparts — and McMansions have aged into the latter category.
See other articles related to: dc area market trends, housing market, housing market trends, mcmansions, trulia, trulia insights, trulia trends
This article originally published at https://dc.urbanturf.com/articles/blog/muted_enthusiasm_for_mcmansions_in_the_dc_metro/11614.
Most Popular... This Week • Last 30 Days • Ever
Ten years later, plans to construct nearly 150 townhomes at DC's most hotly debated d... read »
LEGO lovers will likely be first in line for the National Building Museum's latest ex... read »
Last year, Shiloh Baptist Church selected Monarch Urban to redevelop 1515 9th Street ... read »
JBG Smith has plans for a seven-story project along Crystal Drive.... read »
The "trailer park" where homes sell for millions; a renters utopia; and ideas for whe... read »
Virginia's homebuyer assistance programs can seem complex. This edition of First-Time... read »
The residential projects that have sprouted up on the Maryland and DC sides of the Fr... read »
With a groundbreaking ceremony on Wednesday, the redevelopment of the Georgetown Wes... read »
The 23,600 square-foot mansion just hit the market, and would set a record if it fetc... read »
The immaculately kept 100-year-old house features six bedrooms and four-and-a-half ba... read »
With this weekend's DC houseboat tour a day away, UrbanTurf thought it only fitting t... read »
President Obama travels to Denver this morning to sign the stimulus bill that has bee... read »
In this week's installment of Ask An Agent, a reader wonders if there is a rule for h... read »
As The Wharf prepares to begin construction, DC's houseboat community heads to its ne... read »
In this week's installment of Ask An Agent, a reader asks a fairly common question th... read »
- Reservoir District: 146 Townhomes Planned at McMillan Site Look For Final Design Approval
- BRICK CITY: DC's New LEGO Exhibit Brings in Architecture From Around the World
- HPO Recommends Approval For 45-Unit Condo Development Pitched For Former Church Site in Shaw
- And Another One: Block-Long, 370-Unit Development Pitched For Crystal City
- Wednesday's Must Reads
- First-Timer Primer: Virginia's Home Buyer Assistance Programs
- Mall Conversions, Trader Joes? The 1,500 Units in the Friendship Heights Pipeline
- The Four Seasons Private Residences in Georgetown Break Ground
- DC's Blaine Mansion Lists For $30 Million, A Potentially Record-Setting Price in the City
- Now Selling: A 16th Street Heights Victorian on an Island of Its Own
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Visit guides.urbanturf.com or start browsing below!
Intro guides for first-time home buyers
Awesome and unusual real estate from across the DC Metro