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What Do Home Buyers Purchase After They Move In – Eye On Housing

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Buying a home typically generates a wave of consumer spending beyond the purchase of the home itself. Following a home purchase, households often buy appliances and furnishings and undertake remodeling and repair projects to make the home fit their needs and preferences. This spending supports many businesses and industries, extending the economic impact of home buying.

NAHB analysis of Consumer Expenditure Survey data from 2020 through 2023 shows that buyers of both newly built and existing single-family detached homes spend substantially more than homeowners who did not move. As shown in chart below, buyers of newly built homes spend an average of $26,882 on appliances, furnishings, and remodeling and repairs during the first year after purchasing a home, nearly three times the $9,457 spent by non-moving homeowners. Meanwhile, buyers of existing homes spend an average of $18,673 during the first year after purchasing a home, approximately twice the amount spent by non-moving homeowners.

Appliances

Among all households, buyers of newly built homes spend an average of $4,344 on appliances during the first year after purchasing a home, compared with $3,689 for buyers of existing homes and $1,955 for non-moving homeowners. The largest appliance expenditure among buyers of newly built homes includes refrigerators and home freezers, televisions, clothes washers and dryers, computers, and lawn equipment. This pattern may partly reflect differences in which appliances are already included with a newly built home and which items buyers must acquire separately. Most newly-constructed homes include essentials like stoves, ovens, and dishwashers. However, refrigerators and/or freezers and laundry appliances are often optional upgrades.

Televisions, while not among the most expensive appliances, rarely come with new homes. As a result, buying television sets for multiple rooms in the new house can add up to the high level of spending, reflecting the high frequency of these purchases by new home buyers rather than a particularly high cost of the item. Buyers of existing homes exhibit a similar spending pattern, although average expenditures are somewhat lower.  However, spending on clothes washers and dryers is higher for buyers of existing homes ($481) than for buyers of newly built homes ($387).

Furnishings

Recent home buyers also spent considerably more on furnishings than non-moving homeowners Among all households, buyers of newly built homes spend an average of $8,254, more than twice the $3,894 spent by buyers of existing homes and approximately seven times the $1,192 spent by non-moving homeowners.

Compared with buyers of existing homes, buyers of newly built homes spend more on nearly every major furnishing category. The largest furnishing expenditure among buyers of newly built homes is for bedroom furniture (about $1,204) and sofas ($1,178), followed by blinds, shades, and other window coverings ($1,089). The corresponding expenditures for buyers of existing homes are $385, $1,010, and $183, respectively, while non-moving homeowners spend only $111, $208, and $31.

Spending on dining room and kitchen furniture also differs substantially across homeowner groups. Buyers of newly built homes spend $702, compared with $399 for buyers of existing homes and $47 for non-moving homeowners. These differences reflect the need to furnish an entire home after a purchase, particularly for buyers of newly constructed homes with few window treatments.

Property Alterations and Repairs

Property alterations and repair projects account for the largest share of home buyer spending. During the first year after purchasing a home, buyers of newly built homes spend an average of $14,285 on property alterations and repairs, compared with $11,090 for buyers of existing homes and $6,310 for non-moving homeowners. While both groups of home buyers spend substantially more than non-moving homeowners, the composition of their property alterations expenditures differs considerably.

The composition of property alterations and repair spending differed between the two home buyer groups. Buyers of newly built homes allocate relatively more spending to projects that customized or expanded the property, including landscaping, patios, walkways, fences, driveways, swimming pools, and finishing basements, attics, or porches.

Buyers of existing homes, by contrast, invest more spending into updating, replacing, or repairing existing components. Major categories included room property alterations, heating and air-conditioning systems, flooring, painting, and roofing. The results, therefore, suggest that buyers of newly built homes tend to focus more on customization and additions, while buyers of existing homes tend to focus more on renovation and replacement.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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Two or More Story Home Starts Pull Back in 2025 – Eye On Housing

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Over half of new single-family homes built in 2025 were two or more stories, according to the recent release of the Census Bureau’s Survey of Construction (SOC). After increasing in 2024, the share of homes started with two or more stories fell in 2025. However, the gap between one-story and two-or-more-story shares has been relatively stable since 2021, with only small year-to-year fluctuations.

Nationwide, the share of new homes with two or more stories fell from 52.5% in 2024 to 51.4% in 2025, while the share of new homes with one story rose from 47.5% to 48.6%. Despite the decline, more than half of new homes built nationally in 2025 were two or more stories, though this share varied significantly across the nation.

As shown below, new homes started in the Midwest and the South generally favored single-story homes, while the Northeast and the West had higher shares of two or more stories. In the Midwest, single-story homes accounted for 55.7% of new homes started in the East North Central division and 54.3% in the West North Central division. In the South, single-story shares reached 61.7% in East South Central and 56.6% in West South Central. The South Atlantic division was the exception, with two or more story homes still the majority (54.2%).

Outside the Midwest and the South, single-story shares were lowest in New England (25.7%) and the Middle Atlantic (26.5%), while the Pacific (47.5%) and Mountain (41.9%) divisions were higher.  

Compared with 2024, single-story shares rose in the East North Central and East South Central divisions to multi-year highs, while shares in the West North Central and West South Central divisions fell to multi-year lows.

In the Northeast, where two-or-more-story homes are more common, New England rebounded and the Middle Atlantic declined further. Two divisions in the West have moved in opposite directions over the past few years. The single-story share in the Pacific has increased in seven of the last eight years, from 32.7% in 2017 to 47.5% in 2025. However, the Mountain division saw the reverse, falling from a peak of 50.7% in 2020 to 41.9% in 2025.

Looking specifically at new homes with three or more stories, the national share edged up to 5.2%, compared to 5.0% in 2017. The small increase over the past eight years has been concentrated in New England (from 7.2% to 14.1%) and the Middle Atlantic (from 14.0% to 15.1%), while the share has doubled in Mountain division (from 3.0% to 6.6%). New homes with three or more stories were less common in the Midwest and South, accounting for less than 3% of new homes started in most divisions, except the South Atlantic at 5.0%.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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Existing Home Sales Slowed in June – Eye On Housing

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After reaching a five-month high last month, existing home sales pulled back in June as record-high home prices and elevated mortgage rates weighed on buyers. This monthly volatility reflects the sensitivity of home buyer demand to mortgage rate changes. Mortgage rates, though lower than a year ago, have increased more than 50 basis points since the Iran war began in late February and remain stuck around 6.5% in recent weeks. Energy shock has reaccelerated inflation, which has outpaced wage growth, further weighing on housing affordability.

Total existing home sales, including single-family homes, townhomes, condominiums, and co-ops, fell 2.4% to a seasonally adjusted annual rate of 4.09 million in June, according to the National Association of Realtors (NAR). On a year-over-year basis, sales were 2.8% higher from a year ago.

The existing home inventory level was 1.56 million units in June, down 0.6% from May but up 1.3% from a year ago. At the current sales rate, June unsold inventory sits at a 4.6-months’ supply, up from 4.5-months in May and unchanged from a year ago. Inventory between 4.5 to 6 months’ supply is generally considered a balanced market.

Homes stayed on the market for a median of 28 days in June, down from 29 days in the previous month but up from 27 days in June 2025.

The first-time buyer share was 33% in June. The share was down from 35% in May but up from 30% a year ago.

The June all-cash sales share was 25% of transactions, unchanged from last month but down from 29% in June 2025. All-cash buyers are less affected by changes in interest rates.

The June median sales price of all existing homes was $440,600, up 1.8% from last year. This marks the 36th consecutive month of year-over-year increases and reaches an all-time high. The median condominium/co-op price in June was up 1.6% from a year ago at $380,000. Recent gains for home inventory will put downward pressure on resale home prices in most markets in 2026.

Existing home sales in June were mixed across the four major regions. Sales fell in the South (-3.6%), Midwest (-3.0%) and West (-1.3%) but rose in the Northeast (+2.1%). On a year-over-year basis, sales increased in the South (+3.8%), West (+2.8%) and Midwest (+2.1%) but remained unchanged in Northeast.

The Pending Home Sales Index (PHSI) is a forward-looking indicator based on signed contracts. The PHSI rose from 74.0 to 76.8 in May, the highest level since November 2025. On a year-over-year basis, pending sales were 4.8% higher than a year ago, according to the National Association of Realtors’ data.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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Affordability Concerns Push New Home Sales Lower in May – Eye On Housing

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Elevated mortgage rates, rising inflation and economic uncertainty kept many buyers out of the market in May as consumers and builders continue to deal with challenging affordability conditions. While monthly sales activity softened, builders continue to operate in a market characterized by cautious buyers and persistent financing constraints.

Sales of newly built single-family homes fell 7.3% month-over-month in May to a seasonally adjusted annual rate of 580,000 units, according to the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This represented a 6.8% decline compared to a year earlier. A new home sale is recorded when a contract is signed, or a deposit is accepted, regardless of the stage of construction. The seasonally adjusted annual rate reflects the pace of sales that would occur over a 12-month period if current conditions persist.

New single-family home inventory totaled 496,000 units in May, up 2.3% from the prior month but down 1.4% from a year earlier. At the current sales pace, the months’ supply of new homes stood at an elevated 10.3 months, above the 9.7 months recorded one year ago. A five to six-months inventory level is generally considered to indicate a balanced market.      

Combined new and existing home inventory has edged higher in recent months, with the total months’ supply reaching 5.2 months. Inventory conditions in the existing home market have gradually improved in recent months. Moderating prices across both markets have helped support buyer demand amid ongoing affordability concerns.

At the end of May, there were 115,000 completed, ready-to-occupy homes available for sale on a non-seasonally adjusted basis, unchanged from a year earlier. Completed homes accounted for one-quarter of total inventory, while homes under construction made up 53%. The remaining 24% of homes sold in May had not yet started construction at the time the sales contract was signed.

Home prices remained relatively stable despite the slowdown in sales activity. The median new home sale price was $424,900, up 2.0% from April and essentially unchanged from a year ago. Homes priced between $300,000 and $499,999 accounted for half of all new home sales, while only 15% of sales were priced below $300,000, underscoring ongoing affordability challenges for entry-level buyers. The remaining 35% of the homes were priced above $500,000.

Regional performance was mixed in May. The Midwest posted the strongest monthly gain in sales, rising 16.2% from April, while the Northeast recorded a modest 3.0% increase. In contrast, sales declined in both the South and West, with the West experiencing the sharpest drop, falling 26.9% from the previous month.

Compared with May 2025, the Northeast was the only region to record a year-over-year gain, with sales increasing 17.2%. Sales declined 3.7% in the Midwest, 5.4% in the South, and 17.0% in the West.

On a year-to-date basis, regional trends were similarly uneven. New home sales increased 4.2% in the Midwest and 1.9% in the Northeast compared with the same period last year. Meanwhile, sales were down 8.2% in the South and 11.4% in the West, indicating that housing market weakness remains concentrated in the nation’s largest home building regions.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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In Home Improvement

5 New Home Offices That Hide Clutter in Style

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Designer: Melissa Powell of The Design Shop
Design-build firm: New Leaf Custom Homes | Dallas
Location: Dallas
Size: 145 square feet (13 square meters)

Homeowners’ request. “The homeowner wanted a home office that felt calm and highly functional,” says designer Melissa Powell. “The vision was to create a bright, tailored workspace that could support everyday productivity while still feeling connected to the overall design of the home. The room needed to feel polished enough to be seen and enjoyed but practical enough for daily use. To solve that we focused on a soft neutral palette, custom storage, warm white oak millwork, layered lighting and a clean furniture layout that allowed the desk to become the focal point without overwhelming the room.”

Special features. “This space features white oak cabinetry and flooring, integrated art lighting, double-stacked flat ceiling trim, honey bronze hardware and a brass-and-opal light fixture,” Powell says. “The built-ins provide both open display and closed storage, while the soft drapery, large window and light wood tones keep the room feeling warm, bright and inviting.”

Cord and document control. “The custom built-ins were key to keeping this office visually clean and functional,” Powell says. “Closed lower cabinets allow files, office supplies, paperwork and less decorative items to be tucked away, while the open shelves are reserved for art, books and styled accessories. Keeping the desk surface minimal also helps reduce visual clutter and allows the room to maintain a calm, polished feel.”

Designer tip. “In a home office, balance function with beauty by mixing closed storage with open display,” Powell says. “Closed cabinetry keeps everyday office items hidden, while open shelving gives you a place to add personality through art, books and decorative objects.”

Light: Bouldin salt-blasted glass chandelier, Crate and Barrel; upholstered desk chair: Four Hands; rug: Ernesta





This article was originally published by a www.houzz.com . Read the Original article here. .

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Home Building Regulatory Cost Burdens Increased 40% from 2021 to 2026 – Eye On Housing

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A new NAHB study shows that, on average, regulations imposed by government at all levels account for $131,734, or 26.4%, of the final price of a new single-family home built for sale. Of this amount, $46,795 is due to a higher price for the finished lot, attributable to regulations imposed during the lot’s development. The remaining $84,939 is the result of regulatory costs imposed on the builder during construction, after the builder purchases the finished lot.

The individual line items in the above figure range from under $2,000 per home for the pure cost of delay during the construction phase of the project, to more than $40,000 for changes in building codes over the past 10 years.

Results show that the cost of regulation climbed at its fastest rate between consecutive surveys. The current estimate of $131,734 is over 40% higher than the $93,871 figure from the 2021 study, and more than double the NAHB’s initial estimate of $65,224 back in 2011.

The estimate of $46,795 in regulatory costs incurred during lot development is based largely on the “Land Developer Survey on Regulatory Costs” conducted by NAHB in March of 2026. The $84,939 estimate of regulatory costs during the construction phase is based largely on questions in the March 2026 survey for the NAHB/Wells Fargo Housing Market Index (HMI). Data from the two surveys were combined with information on average construction times, interest rates, profit margins etc. to produce estimates of regulatory costs as a percentage—either of the price of a lot purchased by a builder, or of the builder’s narrowly defined cost of construction. The percentages were then converted to dollars using the January 2026 average new home price of $499,500 from the first release of the U.S. Census Bureau’s New Residential Sales report. For more information on the methodology, including both survey questionnaires and a complete documentation of all other information incorporated into the estimates, please consult the full study.

Regulatory costs are one of several factors, including record increases of tariff rates on building materials, ongoing skilled labor shortage, a dearth of available lots and tighter lending conditions, currently limiting the supply of housing—particularly housing for the entry-level market, where additional inventory is most needed.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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Existing Home Sales Increased in May – Eye On Housing

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Existing home sales rose to a five-month high in May as more first-time buyers stepped back into the market. The share of first-time buyer reached 35% in May, the highest since June 2020. However, sales remained weak compared to historical norms, with still-tight inventory continued to push up home prices. Mortgage rates, though lower than a year ago, have increased more than 50 basis points since the Iran war began in late February and remain stuck around 6.5% in recent weeks. Energy shock has reaccelerated inflation, which has outpaced wage growth, further weighing on housing affordability.

Total existing home sales, including single-family homes, townhomes, condominiums, and co-ops, rose 3.2% to a seasonally adjusted annual rate of 4.17 million in May, the highest since December 2025, according to the National Association of Realtors (NAR). On a year-over-year basis, sales were 3.2% higher from a year ago.

The existing home inventory level was 1.55 million units in May, up 3.3% from April and 0.6% from a year ago. At the current sales rate, May unsold inventory sits at a 4.5-months’ supply, unchanged from April but lower than 4.6-months a year ago. Inventory between 4.5 to 6 months’ supply is generally considered a balanced market.

Homes stayed on the market for a median of 29 days in May, down from 32 days in the previous month but up from 27 days in May 2025.

The first-time buyer share was 35% in May, the highest share in nearly six years. The share was up from 33% in April and 30% a year ago.

The May all-cash sales share was 25% of transactions, unchanged from last month but down from 27% in May 2025. All-cash buyers are less affected by changes in interest rates.

The May median sales price of all existing homes was $429,300, up 1.3% from last year. This marks the 35th consecutive month of year-over-year increases. The median condominium/co-op price in March was up 1.7% from a year ago at $378,200. Recent gains for home inventory will put downward pressure on resale home prices in most markets in 2026.

Existing home sales in May were mixed across the four major regions. Sales rose in the Midwest (+6.4%), South (+3.2%) and Northeast (+2.2%) but remained unchanged in the West. On a year-over-year basis, sales declined in the Northeast (-8.0%) but increased in the South (+5.9%), West (5.6%) and Midwest (2.0%).

The Pending Home Sales Index (PHSI) is a forward-looking indicator based on signed contracts. The PHSI rose from 73.8 to 74.8 in April. PHSI data is typically released about a week after existing home sales reports. On a year-over-year basis, pending sales were 3.2% higher than a year ago, according to the National Association of Realtors’ data. However, resurgence in mortgage rates driven by the Iran war could reverse the increase.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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New Home vs. Existing Home Prices in Q1 2026 – Eye On Housing

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In the first quarter of 2026, the median price for a new single-family home was $403,200, which was $1,400 lower than the median price of an existing home, which stood at $404,600. This marks the fourth consecutive quarter for which existing home prices have exceeded new homes prices, according to U.S. Census Bureau and National Association of Realtors data (not seasonally adjusted – NSA)

Typically, new homes carry a price premium over existing homes. However, beginning in the second quarter of 2024, this relationship reversed, with existing home prices exceeding new home prices in six of the past eight quarters.

Both new and existing homes saw dramatic increases in prices post-pandemic due to higher construction costs and limited supply. While overall home prices remain elevated compared to historical norms, new homes prices have moderated due to tactical builder business decisions, whereas existing homes prices continue to increase because of lean supply and in some markets a lack of price discovery for existing homeowners.

The median price for a new single-family home sold in the first quarter of 2026 decreased by 4.7% from the previous year. New home price annual growth has been trending downwards since the second quarter of 2023.

Although existing home prices have continued to experience year-over-year increases for past 11 quarters, annual growth has slowed from a high of 4.9% two years ago to just 0.6% in the first quarter of 2026.

There are several factors as to why new and existing homes are selling at similar price points. Tight inventory continues to push up prices for existing homes, as many homeowners who secured low mortgage rates during the pandemic are hesitant to sell due to current high interest rates.

Meanwhile, new home pricing is more volatile – prices change due to the types and locations of homes being built. Despite various challenges facing the industry, home builders are adapting to affordability challenges by building on smaller lots, constructing smaller homes, and offering incentives. Additionally, there has been a shift in home building toward the South, associated with less expensive homes because of policy effects. This has occurred in an environment in which construction costs continue to rise, which is the fundamental driver of home prices.

The least expensive region for new homes in the fourth quarter was the South, with a median price of $361,800. The Midwest followed closely behind at $375,900. For existing homes, the Midwest was the most affordable region at $309,100, followed by the South at $362,500.

New homes were most expensive in the Northeast with a median price of $815,600, while the West sold at $551,500. For existing homes, the West led as the most expensive region at $607,000, followed by Northeast at $506,400.

The new home price premium was most pronounced in the Northeast, where new homes sold for $309,200 more than existing homes. Additionally, in the Midwest homes new homes sold for $66,800 more than existing homes. The West and South followed the national trend, with existing homes priced $55,500 more than new homes in the West and $700 more in the South.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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New Home Sales Down in April on Affordability Concerns – Eye On Housing

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Elevated mortgage rates, higher inflation and economic uncertainty kept more buyers on the sidelines in April as ongoing affordability challenges continue.

Sales of newly built single-family homes fell 6.2% in April to a seasonally adjusted annual rate of 622,000, according to data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. The pace of new home sales is down 11.3% from a year earlier.

Mortgage interest rates increased from a monthly average of 6.18% in March to 6.33% in April per Freddie Mac, dampening homebuyer demand. Rates moved higher again in May to just above 6.4% as oil prices and short-term inflation expectations increased.

New home sales are on track to decline in 2026 as mortgage rates are expected to remain elevated in the months ahead. The Midwest remains a bright spot, with sales up 7.3% year to date, compared with declines in the rest of the country. The Midwest benefits from relative advantages for homebuyer affordability.

A new home sale occurs when a sales contract is signed, or a deposit is accepted. The home can be in any stage of construction: not yet started, under construction or completed. In addition to adjusting for seasonal effects, the April reading of 622,000 units is the number of homes that would sell if this pace continued for the next 12 months.

New single-family home inventory in April rose to 489,000 units, up 1.7% compared to the previous month. This represents an elevated 9.4 months’ supply at the current building pace. Completed, ready-to-occupy inventory accounted for 122,000 homes in April, up 6.1% from a year ago but down from the cyclical peak of 128,000 in January.

The median new home sale price was $422,500, up 8.0% from March and up 2.2% from a year ago.

Regionally, on a year-to-date basis, new home sales are up 7.3% in the Midwest. New home sales are down 9.7% in the Northeast, 7.6% in the South and 9.5% in the West.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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Custom Home Building – A Bright Spot for Construction – Eye On Housing

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With overall single-family construction down 5% for the first four months of 2026, custom home building has been a relative bright spot. The custom building market is less sensitive to the interest rate cycle than other forms of home building but is more sensitive to changes in household wealth and stock prices. With spec home building down and the stock market up, custom building has expanded its market share.

According to NAHB’s analysis of Census data from the Quarterly Starts and Completions by Purpose and Design survey, there were 36,000 total custom building starts during the first quarter of 2026. This is up 3% relative to the first quarter of 2025.

For the last four quarters, custom single-family housing starts totaled 188,000 homes, a 3% increase compared to the prior four quarter period (182,000).

Currently, the market share of custom home building, based on a one-year moving average, is 20% of total single-family starts. This is down from a prior cycle peak of 31.5% set during the second quarter of 2009 and the 21% recent peak rate at the beginning of 2023, after which spec home building gained some market share.

Note that this definition of custom home building does not include homes intended for sale, so the analysis in this post uses a narrow definition of the sector. It represents home construction undertaken on a contract basis for which the builder does not hold tax basis in the structure during construction. This form of home building is almost universally undertaken by smaller, private home builders.



This article was originally published by a eyeonhousing.org . Read the Original article here. .

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