Demand for Multi-Generational Housing Increases; Higher-Density Development Decreases

The pandemic has buoyed the custom residential design sector while impacting homeowner design preferences, according to a fourth quarter Home Design Trends Survey from the American Institute of Architects (AIA).

The latest survey results—focusing on community and neighborhood design—showed a decline in homeowner demand for infill and higher-density development, reversing a multi-year trend. Conversely, demand for multi-generational housing accommodations vaulted in popularity. Project billings, inquiries, and design contracts also rebounded from a record decline in the first quarter of 2020. Additionally, all custom residential sectors reported improved market conditions with home improvement reporting the strongest gains.

“The uneven impact of the pandemic on specific construction sectors is nowhere more apparent than in custom residential,” said AIA chief economist Kermit Baker, PhD, Hon. AIA. “Though the initial impact of the pandemic hit residential architects hard, a stay-at-home lifestyle and the desire for more space and less density has increased homeowners’ desires to modify their accommodations.”