As we bid farewell to 2023, it’s time to reflect on the trends that shaped the single family home building industry while we look forward to what 2024 might offer. Throughout this year, prevailing interest rates rose to 7.79%. Projections from Realtor.com experts anticipate an average rate of 6.8% for the entirety of 2024, with a further reduction to 6.5% by year-end. This bodes well for increased homebuyer activity, but only if designs continue to offer cost-efficient responses to lifestyle trends. Let’s dive into what proved true in 2023 and explore the design elements that are poised to define 2024.
2023 Trend: Modern Transitional Elevations
Traditional will never fully go away, but using cleaner lines and forms became the go-to method to modernize elevations.
2024 Takeaway
Developers should continue to incorporate higher-end products such as metal roof accents and prefab columns to create intriguing exteriors. Additionally, even when modern and transitional are your focus, it will be essential to continue providing variety through a range of elevation treatments within that palette so you can cater to a diverse audience and enhance the streetscape.
2023 Trend: Open Concept Living
This was not a new trend, but the use of spaces surrounding open-concept great rooms garnered more interest.
2024 Takeaway
While open concept living remains crucial to consider, smaller, more secluded spaces for individual alone time within families will gain equal importance. Flex rooms, pocket offices and convenient connections like laundry to primary suites will continue to define interior spaces. Work from home is on a steady rise, including hybrid schedules. This means having private and integrated flex space will remain crucial in single family design.
2023 Trend: Amazing Outdoor Areas
Rear outdoor areas further evolved into true living environments.
2024 Takeaway
The connection between interior and exterior spaces will become even more transparent. More than ever, homeowners will invest in patios equipped with living rooms, kitchens and dining areas that mirror the functionality of indoor spaces.
2023 Trend: The Growing Build to Rent Market
Consumers continued to be drawn to build to rent (BTR) homes, driven by their flexibility and affordability compared to for-sale product.
2024 Takeaway
With rising interest rates, BTR communities will continue to gain market share. Renters will still expect all the bells and whistles of a single family for-sale home, so new communities will need to offer design with simple yet effective detailing on all four sides. Inside, innovative layouts will push the boundaries within small square footages, finding ways to incorporate features like mud rooms, private outdoor spaces and ample storage.
What do you think will be the biggest trends of 2023?
