When it comes to home size, some people believe that bigger is better. But as you know, the larger your home, the more money it will likely cost.
Money expert Clark Howard says downsizing has worked out financially for him and his family.
“We used to live in a very large house — way larger than we needed — and so much of that space, we were heating and cooling and maintaining and not using. Now we’re in much smaller square footage.”
You might be curious to know which states have the largest homes and which have the smallest.
A report from Visual Capitalist, a data-driven visual content site, shows the median home size in every state.
The report’s data is derived from the 2022 American Home Size Index and the 474,157 listings of homes and condos for sale on Zillow.com in May 2022.
Which States Have the Largest Homes and Smallest Homes?
Here are some key findings from the report:
- At an average of 2,800 square feet, Utah’s homes are the largest on the list. The state also has the third-youngest home inventory in America.
- Coming in last is Hawaii with a median home size of just 1,164 square feet.
- Hawaii also has the most expensive homes at $743.86 per square foot.
Let’s take a look at the median home sizes in all 50 states.
|State||Median Square Footage|
Should You Buy a Big Home?
Clark says home sizes have drastically increased over the past few generations. Now that he’s in a much smaller dwelling, he says he’s been able to save money.
“We utilize a much higher percentage of the dwelling, and our overhead with the property is much, much lower,” he says. “And so it worked for us; it might work for you if you’re looking for a place.”
Instead of wondering how much house you can afford, Clark wants you to focus on the size of the mortgage. When considering a 30-year fixed term, he suggests using the following formula: the amount you’re paying for rent plus the monthly overhead costs you’d add by owning a home.
“Ignore what you’re pre-approved for,” Clark says. “Instead, base what you can really afford on what your current rent is. Remember with that mortgage, you’re going also to have taxes and insurance.”
Want more money-saving tips? Read our in-depth guide on how to buy a home.