Supply House Times logo Supply House Times
search
cart
facebook instagram twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Supply House Times logo Supply House Times
  • NEWS
    • ASA NEWS
    • Company News
  • PRODUCTS
    • Interactive Spotlights
  • COLUMNS
    • Natalie Forster: From the Editor
    • Alicia Branham: Marketing Matters
    • Brad Williams: Succession Planning
    • Melissa Rasico: Luxury Plumbing Lounge
    • Letter from ASA President
    • Guest Columnists
    • Safety Columnists
  • MARKETS
    • Codes & Legislation
    • Heating & Cooling
    • Industrial PVF
    • Plumbing
    • Radiant & Hydronics
    • Solar Thermal | Geothermal
    • Technology
    • Women in Industry
  • BATH & KITCHEN PRO
    • Bath & Kitchen News
    • Bath & Kitchen Products
  • SPECIAL EDITIONS
    • B.I.G. Book Directory
    • Premier 150
    • Rep Locator Directory
  • MEDIA
    • Podcasts
    • Videos
    • eBooks
    • Webinars
  • RESOURCES
    • Radiant Comfort Report
    • Industry Calendar
    • Industry Links
    • Custom Content & Marketing Services
    • Market Research
    • Supply House Times Store
  • EMAG
    • EMAGAZINE
    • ARCHIVE ISSUES
    • CONTACT
    • ADVERTISE
  • SIGN UP!

Impact of affordability challenges and demographic shifts on housing trends in 2026

Housing market
Photo by David McBee / Pexels
February 23, 2026

Housing affordability has declined significantly in recent years. The deterioration in price-to-income ratio has been a key factor, as home prices have risen 53% since 2019, while median household income has risen only 24%. This has notably decreased the share of first-time home buyers in the market, which dropped to 21% in 2025 from 44% in 1981. Over that same time frame, the median age for first-time buyers reached a record high of 40 in 2025 from 29 in 1981. 

 Other milestones are shifting as well, with more than half of young adults ages 18 to 24 living with their parents, fertility rates and the percent of married couples with children decreasing, and more people opting to live alone.

 “You can’t have housing prices rise that significantly for a sustained period of time and not experience housing affordability issues,” said Rose Quint, NAHB assistant vice president of survey research. “Clearly this will have implications on the size of homes we build and the types of amenities we include.”

 Median home size leveled off at 2,155 square feet in 2025, essentially unchanged from 2,150 in 2024. Although size is not expected to change significantly in 2026, builders do expect to incorporate more transition or flex spaces, such as drop zones and multiple purpose rooms, and electrical vehicle (EV) charging stations. Builders are also trying to address affordability concerns by offering sales incentives (67%) and cutting home prices (41%), a trend that continues to grow compared to efforts in 2024. 

 As entry-level buyers look to enter the market, their interests match their budget expectations compared to high-end buyers, with the latter often preferring more bedrooms, bathrooms and home offices. Other features sought more by high-end buyers include:  

  • Above-standard certifications (e.g., energy efficiency, indoor air quality, water efficiency, etc.), 
  • Special kitchen storage spaces, 
  • Soundproof walls and floors, 
  • Technology systems (e.g., lighting control, energy management, home security, etc.), and
  • Community features (e.g., jogging trails, walkways, parks, retail shopping nearby, etc.) 

One feature that all buyers desire — and that can help builders expand the living space of a home even with a smaller footprint — is outdoor amenities. 

 “People want to be out, they want to be mobile, they want to be a part of their community,” stated Don Ruthroff, founding principal at Design Story Spaces. “It’s all part of wellness, which is a huge trend.”

 Whether it’s incorporating a rooftop deck in an urban setting or a patio to elevate a suburban backyard, builders have a number of options to maximize even 10 feet of space to allow home buyers to enjoy the outdoors. This translates to community amenities in multifamily as well, with a shift away from larger clubhouses and pools toward utilizing natural landscape features and incorporating parks and trails. 

 Builders are also adapting elevation designs to match strong interests in both traditional (preferred by 50% of entry-level buyers) and contemporary (preferred by 57% of high-end buyers) styles. This can be helpful in ensuring that the style matches the local community, especially for more suburban developments.

 “When you’re thinking about elevation design, it needs to feel authentic to the style,” Ruthroff added.

This article was originally posted on www.pmmag.com.

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

Recommended Content

JOIN TODAY
to unlock your recommendations.

Already have an account? Sign In

  • Stock financial index show successful investment on property business and construction industry with graph and chart for presentation and report background.

    2025 predictions: Twelve trends supply houses should know

    As 2024 ends, I’ll review last year’s predictions and...
    Plumbing
    By: Brad Williams
  • Background of aerial view of Industrial container port part of shipping in nighttime with a blue overlay.

    2025 Next Gen ALL-STARS: Top 20 Under 40 PHCP-PVF Professionals

    The future of the PHCP-PVF industry is being shaped by a...
    Heating & Cooling
    By: Natalie Forster
  • Premier 150: The top PHCP-PVF Distributors of 2026

    Premier 150: The Top PHCP-PVF Distributors of 2026

    Combined revenue across this year’s Premier 150 once...
    Premier 150
    By: Natalie Forster
Manage My Account
  • eMagazine
  • Newsletters
  • Manage My Preferences
  • Online Registration
  • Subscription Customer Service

More Videos

Popular Stories

Rob Micklus, Chris DellaSala, John McKeown and Bob DellaSala

2026 Manufacturers Rep of the Year: Keystone Sales & Associates

Price Increase Image

PHCP-PVF Price Increases: June 2026

Best Sales Rep Just Retired

Your Best Sales Rep Just Retired. Now What?

2026 Premier Rankings

Events

December 30, 2030

Webinar Sponsorship Information

For webinar sponsorship information, visit www.bnpevents.com/webinars or email webinars@bnpmedia.com.

View All Submit An Event

Poll

Identifying Daily Time Loss Areas for Your Team

Where does your team lose the most time each day?
View Results Poll Archive

Products

The Water Came To A Stop

The Water Came To A Stop

See More Products

Download the FREE 2025 Water Conservation, Quality & Safety eBook

Download the Fifth annual Bath & Kitchen Pro eBook

Related Articles

  • PHCP manufacturers discuss multifamily housing trends

    PHCP manufacturers discuss multifamily housing trends

    See More
  • Multifamily Building

    NAHB expects the multifamily market to cool in 2026 as vacancies rise

    See More
  • The Modine logo.

    Modine announces continued tariff relief and new multiplier discounts for Canadian partners in 2026

    See More

Related Directories

  • InSinkErator

    InSinkErator, is the world's largest manufacturer of garbage disposals and instant hot water dispensers for home and commercial use. Over 85 years ago, InSinkErator revolutionized the way food waste was discarded in the kitchen, and it continues to be a category leader.
×

Stay in the know on the latest PHCP-PVF industry trends.

Get tailored content delivered your way.

JOIN TODAY!
  • RESOURCES
    • Advertise
    • Contact Us
    • Directories
    • Store
    • Want More
    • Plumbing & Mechanical
  • SIGN UP TODAY
    • Create Account
    • eMagazine
    • Newsletter
    • Customer Service
    • Manage Preferences
  • SERVICES
    • Marketing Services
    • Reprints
    • Market Research
    • List Rental
    • Survey/Respondent Access
  • STAY CONNECTED
    • LinkedIn
    • Facebook
    • Instagram
    • YouTube
    • X (Twitter)
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2026. All Rights Reserved BNP Media, Inc. and BNP Media II, LLC.

Design, CMS, Hosting & Web Development :: ePublishing