By Heather Rutz
SHAWNEE TOWNSHIP, May 5, 2008 (McClatchy-Tribune Regional News delivered by Newstex) --
Having closed off two bedrooms and a bathroom in their 2,800-square-foot Fairway Drive home, Earl and Fran Weigt knew they could live with much less than the ranch on an acre lot they had occupied 26 years.
The Weigts gave up the recreation room in the basement and some of their "stuff" collected through the years and moved to a condominium about a mile away. They also gave up mowing the lawn, plowing snow and big utility bills. They gained a neighborhood and neighbors they enjoy and a community pool and exercise room.
"Basically, we moved into something that was the same size we were using, and now I can sit and drink beer and watch them mow the grass," Earl Weigt said. "My logic is, if I can be out cutting grass, I can be out on a golf cart."
The Weigts are part of one trend -- an exploding population of older Americans (Census statistics show 330 people turn 60 every hour) -- among others driving consumer demands in new housing. The house of the future is leveling off in size; it is energy efficient, with space and features based on decisions about lifestyle rather than need.
A National Association of Homebuilders report points to "The Jetsons," a cartoon made in the 1960s and 1970s about what life would be like in the 21st century. The future is here, modern life as we know it. Much has changed since the association began tracking trends 35 years ago.
Where we are, where we're going
To know where home trends are headed, it's important to see where they've been. Consider a typical new house in 1970: single story, 1,500 square feet, no central air. Maybe an extra halfbath. A generation later, that typical new house has nearly doubled in size, and things once viewed as luxuries are now standard.
The average new house in 2006, according to data from the U.S. Census Bureau and National Association of Home Builders, was about 2,500 square feet and $306,000. In 2006, central air went into 90 percent of all new homes; 57 percent of homes had two or more stories, compared with 17 percent in 1970.
New homes today belie the size of the nation's average household size, which has been declining for 35 years, according to Census data. Homebuyers want larger homes, with larger spaces for lifestyle, rather than functional, reasons, the home builders association said.
Eighty-three percent of new single-family homes have garage space for at least two cars; 19 percent have space for three or more cars.
The same phenomenon is happening inside. Nearly all, 95 percent, of new homes have at least two full bathrooms. Industry experts believe the size of shower stalls will grow, ranging from 5 feet by 7 feet to 6 feet by 8 feet; upscale homes will feature whirlpool tubs and multiple shower heads.
What's happening locally
Like the rest of the housing market, new building has slowed, developers said. Because of the drop in market value and demand, it's actually a good time to build, if you have the money and can get out of your current house.
The average time for a house on the market is seven to eight months, said Janet Kroeger, a real estate agent for Alexander Realty and president of the West Central Board of Realtors.
A year or two ago, builders would have multiple speculative homes built before they were sold; that's not happening now, said Alexander and Dan Laux, who are building homes at Seven Oaks subdivision in American Township.
Laux lives in a home that's for sale, and Alexander has two empty homes available, one of which is a model condo. Alexander's budget for the next two years is based on doing half of last year's business.
With a glut of properties, speculative inventory gets mixed in with everything else, and the price on that comes down to be competitive, Alexander said.
"That's a good deal for the home buyer, but it's not a good deal for the home builder, at low [profit] margins, at best," Alexander said. "All builders have had to put aside their tools for a period of time, including us. We're on this peak, and no one knows what's going to happen to heal [the housing market]. It's pretty scary. We went from eight [speculative] homes to two, and that's where I'm going to stay until things get better."
At Seven Oaks, a housing subdivision with about 50 homes built and planned for 120 total homes starting at about $250,000, retired couples in their 60s and 70s are doing most of the building and buying, Laux said.
The subdivision has square footage minimum requirements -- 1,825 square feet for a ranch and 2,250 square feet for a two-story -- and exterior building requirements.
The homes back up to a golf course and are close to things such as the Senior Citizens Center while still feeling like a rural setting.
"Our customers have equity in their current homes, and they're building something they've wanted for a long time. They're not going to the bank borrowing $300,000 for a $350,000 home. Many have not borrowed any money," Laux said. "We have lots of people ready to go and two or three years ago would have said, 'Let's go,' but now because of stories about how long it takes for houses to sell, they're not willing to gamble and need to sell theirs first."
The market is as "goofy" as Laux has ever seen it, he said.
"They want to know who's going to win the election. I don't know. How long will it take to sell my house? I don't know. You can't tell them not to worry about it," Laux said. "There's more people in a position to build a house like this, but they don't know what to do."
Laux counsels people who are building to not skimp on things such as countertops and cabinets; resale value of homes in upscale subdivisions, particularly when a glut of housing exists, depends on buyers not feeling the need to invest tens of thousands more in a home after they spend $300,000, he said.
The average size new home in Allen County is far below the national average of 2,500 square feet, more likely about 1,800 square feet, Alexander said.
Many people interested in that size are baby boomers downsizing without giving up features and a m e n i t (OOTC:ILIMF) i e s : m a s t e r s u i t e s a n d baths, commercial or commerciallooking kitchens, whole-house stereo and home theaters.
"A lot of people are realizing their home isn't handicap accessible. They want to go away in the winter. They don't want to mess with anything," Kroeger said. "People are asking for all sorts of things. This one really got me -- a puppy shower, so the dog could walk in the back door and clean its paws before coming back in the house."
The future
What's considered higher-end housing in Allen County, the socalled McMansion with 3,000 square feet and multiple bedrooms and bathrooms, is expected to level off nationally and not continue the dramatic growth of the past 35 years. The question remains of what kind of resale value the homes have, but nationally, building experts don't see huge change from what has been.
Ceilings are rising and formal living rooms are disappearing, replaced by great rooms opening to a kitchen and smaller rooms, such as a den, music room or office. Kitchens will remain the hub of the house, with upscale features such as a center island, pantry, wine storage rack, recessed lighting and double sinks.
Experts see a trend toward more communal and open space, a sort of new urbanism, with walking trails, recreational areas and clusters of convenience stores.
A hope for urban renewal has been a perception that baby boomers and professionals with smaller families want to return to city living. With boomers, that may not be the case. Housing magazine and Web site publisher Hanley Wood's study on preferences of educated, affluent boomers showed 67 percent want to live in the suburbs.
That kind of development is beginning in Allen County, mainly in the townships surrounding the city.
At the Villages at Riverwalk, the Weigts are retired, but most people who live there aren't; two-thirds work. Most homeowners are in their 50s and 60s, but the community isn't age restricted, builder Mike Zieg said.
The building and design plan was begun by a Columbus company more than 20 years ago. Since then, the company has blossomed into franchises building communities in 35 states. The Shawnee Township development has 36 homes built, and 58 are planned.
"The home is important. Certainly people are going to kick the tires, but people are buying a lifestyle," Zieg said. "It's a maintenance-free, carefree lifestyle. Especially in smaller towns, when we go there, people have a pent-up demand for this. There's demand in every town."
While plans abound for new kinds of housing in the city, it does not exist now. New building of all sorts is happening almost exclusively outside the city. One of the great challenges and opportunities for the city is to make space for it.
"We have 12 square miles of land and no additional space to use to build housing," said city Community Development Director Amy Odum. "With the change in lifestyles and age demographics, the kind of housing required for many people is just not available."
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Newstex ID: KRTB-0111-25006600
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