End of the Suburban Century and the Death of the Single Family Home

Today it was reported that sales of new single family homes in the United States fell 13.4 percent. Anyone who is surprised by this just hasn't been paying attention to the broader societal trends. An entire generation of people that would make up today's first time home buyers prefer to rent rather than own. This is because they value mobility over stability. The so called Millennial generation are ending the suburban century and returning to the way most people lived prior to the post war exodus of the cities. They prefer to not be car dependent so it makes no sense for them to want single family homes.

Due to these demographic trends it should not be taken as a bad sign for the economy. It is just another sign that the way in which people in the United States live is changing. Much as with car ownership single family home ownership is becoming a relic of a bygone era. It cannot be discounted that those who would be able to afford to purchase single family homes are less likely to desire them where are those who would need the space are not in a position to afford a newly constructed one. Although they could move to a more affordable area.