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Analyzing Trends of Custom Home Building in 2024

  • Blog
  • Posted 3 weeks ago

As we move into 2024, the trends in custom home building reflect a broader shift towards more sustainable, efficient, and technologically integrated living spaces, emphasizing personal well-being and environmental consciousness.

Indoor-Outdoor Living Analyzed By Experts

Indoor-Outdoor Living: A prominent trend is the blurring of lines between indoor and outdoor spaces, with features like expansive glass doors, continuous indoor-outdoor flooring, and year-round outdoor living areas becoming more common. This approach not only enhances the aesthetic appeal of homes but also significantly improves the quality of living by promoting a closer connection with nature​ (JayMarc)​.

The trend of blurring the lines between indoor and outdoor living spaces has continued to rise into 2024, with major design sources like Houzz, HGTV, and Southern Living highlighting its popularity. Homeowners are increasingly seeking to extend their living areas to include outdoor spaces, aiming to connect more seamlessly with nature while enhancing their home’s functionality and aesthetic appeal. The desire for a cohesive transition between indoors and outdoors has led to innovative designs that expand living areas beyond their original interior footprints, utilizing sunrooms, decks, porches, and patios equipped with roofs or pergolas to facilitate year-round enjoyment​ (Archadeck)​.

Design influence on new home trends for the next 3-5 years in custom home building
A chart visualizing how an overwhelming 85% of experts believe people are likely to allocate around 25% of their overall home remodeling budget to their outdoor living space.

According to the National Association of Home Builders (NAHB), the demand for outdoor living spaces has skyrocketed, becoming a top priority for homeowners. This shift is largely driven by the desire for a connection to nature and for more dynamic outdoor entertaining options. Surveys show that integrating the indoors with the outdoors and facilitating outdoor entertainment are among the key factors influencing home design trends over the next few years​ (National Association of Home Builders)​.

Further supporting this trend, a 2023 report by Fixr highlighted indoor-outdoor living as the leading outdoor living trend, emphasizing the move towards minimalism in backyard design and the preference for natural stone as the most popular outdoor flooring option. Homeowners are looking for modular and comfortable outdoor furniture that supports a seamless indoor-outdoor living experience​ (Builder)​​ (Fixr.com)​.

85% of experts believe people are likely to allocate around 25% of their overall home remodeling budget to their outdoor living space.
Surveyed experts say 25% of most home budgets in 2024 are being used on outdoor indoor living spaces

The adoption of “backyarding,” as termed by the TurfMutt Foundation, indicates a deeper appreciation for outdoor spaces as extensions of the home. This trend encompasses everything from recreational activities like pools and pickleball courts to living landscapes that support environmental sustainability and personal well-being​ (Builder)​.

Smart Home Technology in Custom Homes

Smart Home Technology: The integration of smart home technology is becoming standard, with artificial intelligence (AI) and the Internet of Things (IoT) enabling homes to learn and adapt to the residents’ preferences. This includes voice-assisted control of lighting, climate, and security systems, as well as energy management systems that optimize power consumption for both sustainability and cost-efficiency​ (Picklo Homes)​.

In 2024, the smart home market in the U.S. has seen significant growth, with an estimated 69.91 million households actively using smart home devices, which represents a 10.2% increase from 63.43 million in 2023. This marks a continued upward trend from 42.99 million households in 2019, demonstrating a consistent annual growth rate of 10.2% in the adoption of smart home technology. By 2028, it’s projected that over 100 million households in the U.S. will be using smart devices, underscoring the rapid expansion of smart home automation and its integration into daily life​ (Oberlo | Where Self Made is Made)​.

Growth of smart home device adoption in the US from (2019-2028)
Source: https://www.oberlo.com/statistics/smart-home-statistics

This expansion reflects broader trends in home automation and the increasing consumer demand for energy-efficient systems, the growth of the Internet of Things (IoT) market, ease of use, technological advancements, and decreasing costs for smart home gadgets. The global smart home market is also on a significant rise, expected to reach $100.42 billion by 2023, with North America holding a 40% market share, indicating the region’s leading role in smart home adoption​ (Techjury)​.

Smart speakers are a cornerstone of this technology, with 41% of U.S. households owning at least one smart speaker. This adoption rate points towards a broader acceptance and integration of smart home devices, driven by their convenience, the ability to automate daily tasks, and the overall enhancement of home efficiency​ (Techjury)​.

Health and Wellness Custom Home Trends

The health and wellness trends in custom home design for 2024 are increasingly reflecting homeowners’ desires for spaces that support both physical and mental well-being, alongside a growing emphasis on sustainability and technological integration.

A key trend for 2024 is the creation of Custom Spaces Dedicated to Health and Wellness, with homeowners prioritizing areas for relaxation, exercise, and mental rejuvenation. These include home gyms that encourage physical activity, spa-like bathrooms for stress reduction, and meditation rooms infused with natural light for mindfulness and introspection. The incorporation of indoor plants and large windows in these spaces not only enhances aesthetics but also improves air quality and mental well-being, turning homes into nurturing environments that contribute positively to health and happiness​ (Picklo Homes)​.

The Home as High-Tech-Health-Hub trend is transforming residences into dynamic spaces that cater to evolving health and wellness needs. Post-COVID, homes have become sanctuaries where health and wellness practices are integrated into daily life. Advances in technology are making homes smarter and more intuitive, providing personalized settings for health and wellness practices​ (Cosmetic Executive Women)​.

Another interesting development is the focus on Longevity, with lifestyle shifts like Blue Living and the Aging Well movement driving interest in living healthier and longer lives. The concept of longevity is evolving beyond merely extending lifespan to improving healthspan – the period of life spent in good health. This focus is leading to the development of longevity clinics and is expected to impact various sectors from travel to tech to fitness, with a particular emphasis on brain health​ (Cosmetic Executive Women)​.

Emerging Construction Methods in Custom Home Building

Use of Drones and UAVs in Construction

Drones have become crucial in construction for various tasks, including site surveying, mapping, inspections, and even material delivery. Their ability to quickly gather accurate data and inspect hard-to-reach areas has significantly improved communication and collaboration on construction sites. Technologies such as thermal imaging, LiDAR sensors, and cloud-based applications have enhanced the utility of drones, making them integral from project inception to completion. They offer a remarkable advantage in monitoring progress through regular, precise records of work progression, providing invaluable insights within minutes of surveying​ (Modus)​​ (GIM International)​.

3D Printing in Construction

3D printing is revolutionizing the construction sector by enabling the creation of buildings, bridges, and custom components more efficiently and with less waste. This technology facilitates new design possibilities and material uses, significantly impacting how construction projects are approached. By printing components directly from digital files, 3D printing allows for rapid prototyping and construction, reducing the time and cost associated with traditional building methods. It’s also pushing the boundaries in creating complex structures that would be difficult or impossible to achieve with conventional construction techniques​ (PlanRadar)​.

Robotics and Automation

Robotics and automation are being deployed to perform repetitive and hazardous tasks, thus improving construction efficiency, enhancing safety, and ensuring high-quality work. Robots like SAM, which can lay bricks significantly faster than human workers, are examples of how automation can address labor shortages and elevate construction practices. The integration of robotics in construction not only frees human workers for more skilled tasks but also reduces accidents and errors on site. As the technology evolves, the construction industry anticipates a future where robots and drones could operate autonomously, further transforming construction methodologies and project management​ (PlanRadar)​.

These trends underscore a transition towards more intelligent, sustainable, and adaptable construction practices, heralding a future where technological innovation not only drives efficiency and safety but also opens up new avenues for creative and sustainable building designs. The integration of these technologies represents a significant leap forward in the construction industry, promising to redefine traditional construction methodologies and pave the way for a more innovative, efficient, and safer construction landscape.

Custom Home Pricing in 2024


Navigating custom home pricing in 2024 involves understanding various factors that influence overall costs. Key aspects include technological advancements, economic factors, and the choice between developers and custom home builders.

Technological Advancements: Incorporating new construction technologies may initially raise costs but offer long-term savings and sustainability benefits. Innovations like 3D printing and smart technologies, despite their higher upfront costs, are making construction processes more efficient and environmentally friendly​ (The Home Atlas)​.

Economic Factors: Broader economic trends such as inflation, interest rates, and global economic health significantly shape construction costs. These factors contribute to the fluctuating prices of materials and labor, impacting the overall budget for custom home building​ (The Home Atlas)​.

Choosing Between Developers and Custom Home Builders: Opting for a developer, who plans subdivisions and offers a range of floorplans, can be approximately 15% less costly than engaging a custom home builder. While developers build many houses simultaneously to reduce costs, custom home builders provide exclusive focus on your project, offering personalized designs but at a higher cost​ (HomeGuide)​.

Cost Implications:

  • Construction Material Costs: Projected average construction material costs per square foot for 2024 are anticipated to be between $160 and $180. These figures don’t include land cost, labor, and other factors​ (The Home Atlas)​.
  • Additional Price Factors: The total price can vary significantly depending on land, size, number of stories, pools, decks, fencing, landscaping, finishes, fixtures, and more​ (HomeGuide)​.
  • Finishes and Fixtures: Costs for high-end finishes like granite countertops and solid hardwood flooring can significantly impact the budget. For example, granite countertops can range from $43 to $140 per square foot​ (HomeLight)​.
  • Permits and Regulation: The cost of clearing regulatory hurdles comprised a notable portion of the final purchase price, with permits for various construction stages adding up quickly​ (HomeLight)​.

Square Footage Impact: The cost of new home construction typically revolves around $150 per square foot, with the final price varying by region. The Northeast and West regions of the USA, for instance, tend to have higher average sales prices for single-family homes compared to the South and Midwest​ (HomeLight)​.

A chart visualizing the average cost per square foot to build a house in 2023 compared to the projected cost in 2024.
A chart visualizing the average cost per square foot to build a house in 2023 compared to the projected cost in 2024.

Conclusion: When planning to build a custom home in 2024, consider these varying factors carefully. Opting for technological advancements and choosing between a developer or a custom home builder will significantly impact the overall budget. Additionally, material costs, additional price factors, and regional differences play crucial roles in the total construction cost. Being aware of these details can help in better planning and managing your custom home building project.

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