Ninety percent of Americans still say “homeownership is part of the American dream”

Commentators may be touting the virtues of renting but according to a recent poll from the Woodrow Wilson Center, a clear majority of Americans still think homeownership is a worthwhile goal:

Voters personally put very high importance on homeownership. When asked to indicate on a scale of zero to ten where zero means homeownership is not at all important and ten means it is extremely important, voters rate the importance of homeownership as a mean score of 8.597.

-Fully 62% of all voters rated homeownership as a ten out of ten. Those most likely to indicate homeownership is extremely important are voters in states with lower unemployment rates as well as rural (71%) and urban (67%) areas.

-Importance placed on homeownership increases with age where just 53% of 18-44 years old indicate it is extremely important but 64% of those 45-64 and 72% of those over 65 years old would rate it as a ten out of ten…

When asked to consider the importance of homeownership compared to five years ago, one-third of voters feel homeownership is more important (33%) and 51% feel it is just as important. Only 12% of voters say homeownership is less important than it was five years ago…

A majority (54%) of voters believe that “increasing homeownership should be a national priority.” By comparison, voters universally (90%) believe that “homeownership is part of the American Dream.”

Considering some of what I have read in recent years, this is overwhelming support for homeownership. The economy may be bad, foreclosures may be more common, some 15 million homes have underwater mortgages, and homeownership rates are trending down, but it will take a long time before Americans give up the dream of homeownership. It is interesting to note in the figures above that younger American adults see homeownership as less important. It is also interesting to note that there are more mixed opinions about how much the government should be involved with the mortgage industry or promoting homeownership.

This is based on telephone interviews with 1,000 “registered ‘likely’ voters.”

A NPR story on these poll results suggests the dream of homeownership runs deep in American history:

The term “American dream” became popular in the 1930s, says Bob Shiller, a housing economist at Yale. “But I associate it with the suburban movement that developed after World War II,” he says…

The American tradition of actively encouraging home- or farm ownership dates back even further, he says.

“That was the real American dream — [owning] your own farm. So we had the Homestead Act in the 1860s that made it possible for anyone with modest means to buy a farm,” he says.

Still earlier, the French historian Alexis de Tocqueville noted the importance of homeownership in his book Democracy in America, published in the 1830s and based on his travels around the country.

“He noticed the independent streak of Americans and their desire to own their own farm and their own home,” Shiller says. “He thought that that represented a kind of anti-feudal feeling — that each person in this country is an independent agent. There is no landlord or lord with his thumb on you.”

History doesn’t change overnight though feelings about homeownership could change within a generation or two.

Baby Boomers want to downsize from McMansions but still want the amenities

Even if more people are interested in smaller houses, will they be willing to forgo the amenities of larger houses? This article suggests the Baby Boomers going to Florida want to go smaller but still want features:

The baby boomers who invented the “McMansion” now say they want to scale down, while still having everything just so. For boomers beginning to trickle into Florida, this means medium-size, maintenance-free retirement homes that still feel spacious, especially when it comes to storing all their stuff.

Builders who study what this generation wants have come up with innovations like “snore rooms” to preserve bedtime peace and “technology centers” to keep them connected. Behind a yen for such marketing frills is a solid demand for costly amenities: spas, fitness centers and dedicated golf cart paths to nearby shopping…

This generation, famous for saying one thing and doing another, promises to keep it up as its members age. Boomers say they intend to downsize, but appear to change their minds once they see what their dollars will buy in a post-recession Florida…

Inside, the standard villa layout has been refined to boost the coolness factor boomers crave. Generous windows, some of them bays and bump-outs, flood the rooms with natural light. Tiny foyers feature the elegant architectural detail of a stately manor, and lead immediately into wide, off-center angles of open-planned space. Pocket doors allow one- or two-bedroom guest suites to close off from the rest of the living area, so grandchildren can nap or play.

Custom options include a cocktail pool, or “spool” — bigger than a spa, smaller than a pool — and a shared office with his-and-her workspaces for boomer couples telecommuting from home.

Several factors are at play here:

1. Housing is relatively cheap in Florida, particularly if retirees are coming from New York, Washington, Boston, and to a lesser extent, Chicago. Perhaps these retirees can’t resist getting the “best deal” when they realize they have the money to buy a little more?

2. What people expect in retirement. It sounds like these retirees expect a certain standard of living when they move to Florida. If they had fewer choices or less money, what would they ask for? Overall, these retirees have the money and the wherewithal to pick up and leave for Florida.

3. This is big business. Companies like Dell Webb need retirees to buy their homes so they are going to offer what people want.

In these cases, it sounds like buying less (particularly in square footage) doesn’t necessarily mean buying less.

Wired: “Living Large in a 130-Square-Foot Apartment”

Tiny houses are getting their share of attention these days and I find it hard to resist seeing how people design and live in small spaces (in a country where new homes are roughly 2,500 square feet). Check out this gallery and description of  “Living Large in a 130-Square Foot Apartment“:

The apartment was once the master bedroom of a larger apartment, which should give you a pretty good idea of its postage-stamp size. The idea was to separate the room to create a small studio that could create rental income…

The smartest design trick was to create a split-level floorplan. Baillargeon and Nabucet divided the studio into two levels by building a platform for the kitchen and bathroom, which creates the illusion of separate spaces without using any walls or dividers. The only true partition between living and dining is a long, bar-height shelf that doubles as a functional table for eating. A smart take on the traditionally depressing breakfast nook…

The bed is always a challenge in a studio space. You don’t really want a mess of comforters and pillows in the middle of your living space, and no grown person should really be sleeping on a futon. Baillargeon and Nabucet brilliantly bucked the Murphy bed concept with a bed on wheels that slides elegantly beneath the kitchen platform. The bed can also do double duty, sliding halfway underneath to create the illusion of a couch, thanks to the addition of decorative pillows.

A coffee table, stored along the wall while the bed is in use, slides elegantly out in front of the couch. The convertible bed/couch is Ménard’s favorite feature, as it allows for maximum square-footage for socializing. “It’s a multi-faceted space which can be adapted for watching a movie, working, inviting friends over or cooking.”

Looking at the pictures, the split-level plan seems to make a big difference. So when can Ikea sell all of this as a package? I wonder how much an architect or designer can make for putting together a space like this…

Another thought: can tiny dwellings only really work in communities that emphasize or at least allow socializing in public/private spaces? How much time does the average tiny house dweller spend in their unit compared to people with bigger homes? I could see this as a marketing pitch for tiny houses: you’ll be forced to be more social in public!

Most people buy greener houses for the cost savings

At the end of a larger discussion about builders constructing more green houses, an industry insider talks about why people buy green homes:

Q: Over the years, industry studies have shown that consumers’ interest in green building has tended to focus on energy conservation; they want to reduce their heating, cooling and appliance costs.

Do they still see green building through that lens of energy efficiency? Are they more motivated to build green for the sake of being green?

A: They’re still energy-oriented. In the most recent study, about two-thirds of consumers who requested green features in their homes said they wanted either to lower energy use or to save money.

In addition, consumer health concerns related to indoor air quality have moved up rapidly among the reasons for requesting green. But concern for the environment was a major issue for only about one-fourth of consumers requesting green.

While it will be interesting to see what green features the new homes of the next few years have, I think this hints at a larger issue with green products: people are more willing to invest in them upfront (in the case of a house) or buy them if they offer savings in the long run. Even with houses, this insider suggests that 30% of people wouldn’t pay extra for green features. The motivation here is not necessarily the earth or all of humanity but rather costs for individuals. This is a very different ideology and seems rooted in a consumeristic mindset.

But what happens when going green requires higher prices – like gasoline or other energy prices – without obvious cost savings for individual consumers? This is a much harder sell.

Recent uptick in sales of McMansions?

Here is an argument that new home sales of recent months might be driven in part by larger homes, sometimes known as McMansions:

Data released on Wednesday shows that sales of newly built homes rose 3.3% in April from a month prior and 9.9% from a year ago. While the figures do not disclose the size of these new homes, home builders credited the McMansion side of the spectrum. That’s a reversal from recent trends: During the recession the size of homes got smaller, shrinking 3.4% to 2,382 square feet, according to the US Census. But last year that size jumped 5.2% to 2,505 – the largest in at least four years. In many regions of the country, homes are even larger.

Home builders say the trend toward larger new homes picked up more this year. Michael Villane, president of Lead Dog Builders, a custom home builder in Rumson, N.J., says he’s currently building homes with sticker prices of $1.5 to $4 million, up from the $1.3  to $1.5 million his clients were commissioning a year ago. While the average size of homes in the region is 3,500 to 5,500 square feet, he says the orders he’s received this year are for 7,000 plus-square feet homes. Though there’s no official definition of the word, many define McMansions as new homes larger than 3,000 square feet.

In some cases, home builders are enlarging homes even if clients don’t ask for it. Michael Dubb, CEO and president of The Beechwood Organization, a New York-based home building company, says his firm is building houses with larger kitchens, higher ceilings, and overall more spacious rooms in an attempt to appeal to buyers who might be on the fence about buying a new home. By building bigger without raising the price, he says, the company is hoping to increase its sales. (He says they’re not downgrading quality, but rather cutting into their profits in order to make more sales.)…

Requests for large new homes come at a challenging time for the overall new home market. New home sales hit a 51-year low of 307,000 last year, according to the NAHB. That figure is expected to jump 18% this year, but it would still be way off its peak of 1.3 million homes in 2005.

If I had to guess at what is behind this, here is what I would say: there is a bifurcation in the current housing market. On one hand, you have a large group of potential homebuyers who are looking for smaller homes. One recent book I reviewed calls this the “demographic inversion” as young adults and retiring Baby Boomers look to downsize and purchase in denser areas. Proponents of these trends argue that the Americans of the future are looking for a different kind of homeowning experience in the future. On the other hand, you still have a decent number of wealthy homebuyers who are now moving out of a hibernation stage brought on the economic/housing crisis several years ago. They are looking to buy homes similar to what they would have bought ten years ago but now feel financially stable enough to pursue this.

The article doesn’t mention this but I wonder if this is also at play: new home sales are at the lowest stage in 51 years so this new push for larger homes among the wealthy is really raising the average in a way that we haven’t seen in the past. When those at the lower economic spectrum get back into buying homes (though some would argue that they won’t – perhaps we’re moving to a rental society), the average figures for the whole country might come down or stabilize a bit.

Builders constructing denser, more urban developments in the suburbs

USA Today reports that more builders are constructing denser suburban subdivisions:

The nation’s development patterns may be at a historic juncture as builders begin to reverse 60-year-old trends. They’re shifting from giant communities on wide-open “greenfields” to compact “infill” housing in already-developed urban settings…

“It’s the kids (ages 18 to 32), the empty nesters (Baby Boomers with no kids at home),” says Chris Leinberger, president of Smart Growth America’s LOCUS (Latin for “place”), a national coalition of real estate developers and investors who support urban developments that encourage walking over driving. “These two generations combined are more than half of the American population.”…

Most major builders have created “urban” divisions in the past five years to scout for available land in already-developed parts of cities and closer suburbs — even if it means former industrial and commercial sites or land that may require environmental cleanup…

Even traditional communities built on greenfields are transforming. In Southern California’s Inland Empire, an area where housing prices are lower and appeal to first-time buyers, Brookfield is building Edenglen in Ontario. The homes are built on smaller lots — 4,500 square feet instead of the more conventional 7,200 square feet — and priced from $200,000 to $300,000.

This phenomenon has been noted by a number of commentators in recent years though I wonder if it will last.

A few other consequences of this for suburbs:

1. How will existing suburban residents respond to dense, infill projects? I would guess that a good number of suburbanites would object to these dense projects being built near them, spoiling their neighborhoods.

2. Related to the first question about NIMBYism, how will these new developments change the character of existing suburbs? If a community is used to wide suburban streets and big lots, narrow lots and denser housing could change things.

3. This article hints at this but this could also be a product of the age of many American suburbs. Outside of the suburban fringe or exurbs, many suburbs not have at least a few decades of history and perhaps little to no open land (reaching build-out). If these suburbs want to continue to grow (boosting revenues and fees as well as prestige), infill development might be the only choice.

4. This article makes a common claim: certain generations (emerging adults and baby boomers) desire more urban kinds of housing. However, I wonder if it less about generational differences and more about the changing structure of American households. Is the increasing number of single households (which might be located more in these generations) really driving this? If so, this would be have bigger effects as the American suburbs have traditionally been communities build around family life and child-rearing.

When a Frank Lloyd Wright home in Wilmette is threatened by McMansions

McMansions don’t only threaten the unspoiled fields of America; they also threaten houses designed by notable architects like Frank Lloyd Wright.

A dollar can’t buy you much these days. But for Joseph Catrambone, a contractor, real estate manager, and self-proclaimed architecture buff living in Oak Brook, Illinois, one dollar secured him a 594-square-foot historic Prairie Style cottage, churned out by Frank Lloyd Wright’s studio in its 1920 heydays. The only caveat: He has about two weeks to devise a plan and acquire the permits to dismantle and remove the building from its present location. “I wake up in the morning thinking how crazy I am,” Catrambone told the Chicago Tribune. “It’s exciting and crazy all at the same time.”

Exciting, crazy, and heroic. Catrambone’s plan to relocate the cottage from its original site has saved one of two endangered Frank Lloyd Wright-connected buildings in the Chicago suburb of Wilmette from imminent destruction. The cottage, which currently sits on 1320 Isabella Street, was designed by Austrian-born architect Rudolph Schindler, who was working in Wright’s studio at the time, propagating the American architect’s patented style before striking out on his own as a prominent modernist architect with an entire platform frame system attributed to his name (the Schindler Frame)…

As soon as talks of demolition began, alarm bells went off. Preservationists swiftly entered the scene, tracing the two buildings back to Schindler, Van Bergen, and Wright and meticulously unearthing original blueprints that would qualify the works as Wright creations. While any Wright association is usually enough to earn a reprieve for buildings facing ruin, Wilmette, unlike Chicago, does not have a landmark ordinance. Like the recently razed Palos Verdes beach house built by Lloyd Wright, Wright’s son, the Isabella Street houses are sitting on prime real estate for aspiring McMansion owners.

Fending off the stereotype of the big, bad developer, Hausen opened the door to the Chicago-based Frank Lloyd Wright Building Conservancy. Together, they arrived at an agreement, which placed the Van Bergen-designed house on the market for four months starting on May 1 at a listing of $599,000. The Conservancy is taking careful measures to monitor potential buyers, determined to find a future owner who will preserve the existing residence.

This sounds like a decent compromise: the homes are saved (though moved) and property owners and builders can utilize the prime property.

I’m sure there are some fascinating stories out there about preservation battles over structures like these. Why weren’t these homes given landmark status? Why do some towns move to preserve Frank Lloyd Wright homes and others do not? How much of a Frank Lloyd Wright home does a structure have to be to be worth saving – this home simply came out of his workshop.

Also, if an important building is saved but moved, is it still just as important?

Building houses designed for blended families

Architects, real estate agents, and builders are adjusting to selling more homes to blended families:

“More and more people are getting divorced, especially in Paris and its suburbs. We have many customers in this situation. We try to interest them in a certain type of home,” admits Alexandre Colleu, a real estate agent working in suburbia. In France, one out of five children live in a blended family. In Switzerland, more than 22,000 divorces were granted in 2010; the figure has been increasing steadily for the past few years. “Separations are increasing, but so is the speed at which couples find new partners. They are not a market yet, but they’re a target population,” confirms Yankel Fijalkow, author of The Sociology of Housing. “Real estate agents have now found a way of selling homes that would be too expensive for a single family,” he notes. At the National Architecture School in Paris, where Fijalkow teaches, masters-builders and architects are working on the issue: “They are studying the housing models of countries from countries where people live with their extended family rather than within nuclear families,” Professor Fijalkow explains.

Each blended family is different. Some homes are organized so that each generation has their own space– whereas in other houses, people are separated according to family groups. Let’s go back to the aforementioned “nine-room house”. The estate agent describes it: “It is made of two detached houses linked by a footbridge. The couple who wants to preserve their newly-found intimacy can live in one house, and the children in the other. Also, children of blended families are often teenagers who appreciate the idea of having their own private space,” he adds.

Sibrine Durnez, an architect in the Belgian city of Liège, has designed a house with two very separate levels. “The parents did not want to live in a sad, empty house on the weeks when they don’t have custody of their children. So from their floor, they can’t see the kids’ rooms. They also wanted all the children’s bedrooms to be exactly the same size, to avoid jealousy,” she explains, adding that her firm mostly designs small houses for single-parent families.

Other families chose to allocate a part of the house to each “clan,” where they share some rooms but sometimes have two different front doors. The most radical version of this is a perfectly symmetrical house, with a double kitchen and a double living room, which can be separated or joined according to the mood of the day. “It’s important to be able to spend time with each other, but it’s also important to be able to ‘avoid’ each other,” Yankel Fijalkow explains.

This sounds like an interesting adaptation to the Going Solo world: even in families where adults have decided to live together, the emphasis in these homes is on private space where each individual can adjust to the changing family circumstances.

It would be really interesting to hear from families that live in these homes. Does the design help promote family togetherness? In other words, is it more important to simply have the different family members living in the same dwelling than interacting on a regular basis within the dwelling? What happens if families grow closer together and want more common space – do they have to move?

Comparing the mass-produced ranch to the mass-produced McMansion

I’ve recently seen several articles about the ranch house (I discussed Atomic Ranch magazine a few weeks ago) but this one, “Ranch housing style makes a comeback,” led me to thinking why the mass-produced ranch may be popular and the mass-produced McMansion is not. Here is a brief explanation from the article:

Cicaloni is not alone in her appreciation for the ranch. Though it will never be as popular as the ubiquitous Colonial here in New England, the ranch is making a return. The simple home is being embraced by young people attracted to the mid-century modern vibe; by aging boomers who no longer want to deal with stairs; and, as always, by those looking for an affordable home…

“Popular publications portrayed a confident and easygoing way of life that could be accessible to one and all; of particular interest was the casual California lifestyle, implying prosperity, glamour and optimism as embodied in a sunlit and breezy ranch house where indoors and outdoors blended effortlessly,” Betsy Friedberg of the Massachusetts Historical Commission wrote in a 2003 issue of Preservation Advocate. “In the 1950s, I think, [ranches] were considered fresh,” says Zimmerman. “They were built at the same time as Capes, which looked very traditional. If you were a person who was up to date and interested in the latest thing, then, yes, a ranch is the thing you would have chosen in 1952.”…

BUT EVENTUALLY, thanks to tract housing like in the infamous Levittowns, people didn’t see the charm anymore. The 1962 song “Little Boxes,” inspired by a drive through a postwar development in California, ridiculed the conformity: Little boxes on the hillside, little boxes all the same. There’s a green one and a pink one, and a blue one and a yellow one. And they’re all made out of ticky tacky, and they all look just the same…

But the other thing is that taste in homes, like fashion, is cyclical. “All building styles go through a period when they are unpopular,” says Zimmerman. “At one point, Victorian houses were thought of as white elephants and hard to heat and not set up for modern living and not in tune with the landscape. So, in the ’60s, we lost a lot of Victorians.” And so, the ranches often derided as “ranch burgers”?—?as in mass-produced by a fast-food chain?—?were replaced with homes that came to be known as “McMansions.’’

So it’s simply a matter that ranch houses are on an up-cycle? It is somewhat amusing to think that these simple houses could be an antidote to an era of supersizing house size and debt.

I’m sure some critics of suburban houses would argue that ranch homes and McMansions share several important characteristics. To start, they are associated with sprawl and tract subdivisions. McMansions may be an easy target today but there were plenty of critics of the Levittowns and similar subdivisions built after World War II. In this sense, the problem may not be with the homes themselves per se but rather with the way of life that promotes building mass-produced houses. Second, both ranches and McMansions are not prized for their design or architecture due to their mass-produced nature as well as their unpleasing aesthetics (though these differ: ranches are meant to be more simple while McMansions are meant to impress or be flashy).

It would be interesting to see figures about how quickly housing stock is replaced in the United States. For example, how many ranch houses were built and how quickly were they replaced? What can this tell us about how quickly McMansions might be replaced?

McMansions are symbols of “the excess of greed”

An interesting way the term McMansion is sometimes used is to see such houses as symbols for some larger issue in our culture. This usage is illustrated in a documentary to be shown next week in Vancouver:

Vancouver’s treasury of modern architecture is the subject of Coast Modern, by Michael Bernard and Gavin Froome (May 8, 7 p.m., Vancity Theatre).

“Coast Modern is an exceptionally beautiful film,” says Woodend. “I have a bit of a yen for modernist architecture, just because it’s so exquisite, and it’s one of those films [that takes] house porn on a whole new level.

“Although, to give it credit, it looks at architecture as a manifestation of social values. [It has] Douglas Coupland weighing in on McMansions, and how they’re sort of this travesty, not just in architectural terms, but as an embodiment of cultural and social values, the excess of greed that has come out of the last 10 years and shown up in brick and mortar.

“In that regard it’s pretty thoughtful, it really uses architecture as a means to talk about culture.”

From this point of view, houses are not just things to be purchased by individual buyers. Rather, homes and their architecture represent broader trends in society. McMansions can then be viewed as symbols of excess, products of an era where people consumed more than they needed with impunity. Presumably smaller homes indicate (whether they are tiny or “not-so-big“) fighting back against this culture of excess.

Of course, labeling a home as a McMansion then does the job of pointing out the excess. If you live in such a home that acquires this label, do you try to respond that the home really isn’t that excessive? Or perhaps that it is green enough (perhaps a tactic of celebrities)?