Infill development along with an increasing demand for tear-down properties is a signal that urban housing continues to grow denser.  Showing signs of market saturation, demand for walkable neighborhoods, multi-generational housing and access to public transportation remains very strong, but improvement has leveled off, according to the findings from the American Institute of Architects (AIA) Home Design Trends Survey for the third quarter of 2016, which focuses on community and neighborhood design.

AIA Home Design Trends Survey highlights

Community design elements  

2016

2015

Infill development

68%

65%

Increase in tear-downs

68%

57%

Mixed-use facilities

56%

51%

Access to public transportation

55%

55%

Higher density development

53%

52%

Multi-generational housing

52%

56%

More recreational opportunities

50%

44%

More walkable neighborhoods

49%

49%

 (% respond. report. popularity of feature “increasing” minus % report. “decreasing”; Q3)

All of the data from this survey can be access in this infographic.

“After years of growth in multi-generational housing, we’re now seeing demand level off,” said AIA Chief Economist, Kermit Baker, PhD, Hon. AIA. “This could be a result of a strengthening economy paired with a housing stock that can better accommodate homeowners’ needs in this area.”

Popular Home Exteriors Features

2016

2015

Low maintenance exterior materials

68%

69%

Windows (number and size)

47%

40%

Contemporary design

43%

45%

Front/side porches

40%

40%

Metal finishes

36%

35%

Smaller / emphasis on styling

35%

39%

Fire resistant exterior material

26%

19%

Single story homes

25%

26%

Simpler exterior detailing

22%

21%

Exterior accent lighting

18%

19%

Cool roofs

16%

13%

(% respond. report. popularity of feature “increasing” minus % report. “decreasing”; Q3)

“As building product technologies advance, such as smart glass windows, demand for more and larger windows is increasing,” Baker added. 

Housing market business conditions
AIA Home Design Survey Index for Q3 2016 (any score above 50 is positive)

  • Billings: 55
  • Inquiries for new projects: 59
  • Regional averages: Midwest (54.2), South (54.5), West (61.4) Northeast (45.1)

Baker noted, “Business conditions continue to strengthen across all regions, however the uneven housing recovery continues with a setback in demand for more affordable homes, as well as for second homes.”

Specific construction segments

2016

2015

Additions / alterations  

57%

66%

Kitchen and bath remodeling

49%

54%

Move-up home market

22%

34%

Custom / luxury home market  

20%

42%

Townhouse / condo market

11%

19%

First-time buyer / affordable home market

-1%

10%

Second / vacation home

-6%

-2%

(% respond. report. popularity of feature “increasing” minus % report. “decreasing”; Q3)