The American housing stock continues to age, a trend that represents an opportunity for remodelers and over the long term may signal a future increased demand for new home construction.
According to the latest data from the Department of Housing and Urban Development American Housing Survey (AHS), the median age of an owner-occupied home in the United States was 35 years old as of the 2011 survey. The median age reported in the 1985 AHS was only 23 years old.
The 2011 AHS also found that 41 percent of the owner-occupied housing stock in the U.S. was built prior to 1969. Homes built from 2000 to 2009 account for 15 percent of the owner-occupied housing stock.
The share of the housing stock at least 40 years old, 41 percent, represents a significant increase over prior years. The share in 2001 was 35 percent and only 27 percent in 1991. The share of the housing stock at least 20 years old also increased significantly over the time period.
This information is important for housing demand, as older homes are less energy-efficient than new construction and will require remodeling or replacement in the years ahead. The aging housing stock represents an opportunity for well positioned builders and developers in areas where the population is not in decline.
View this original article on the NAHB Eye on Housing blog.