Outdoor design grows as lots shrink

THE biggest trend in American home design isn’t actually in the home. It’s outside.

Of 500 design firms recently surveyed by the American Institute of Architects, 64% reported an increased client interest in outdoor living spaces, said Kermit Baker, chief economist for the organization. That’s up from 47% reported in a similar survey a year ago.

“My sense is that the increased activity in outdoor space can be attributed to smaller lots,” Baker said, adding that 2 out of every 5 survey respondents said the size of properties was shrinking. “It forces homeowners to improve quality over quantity.”

Only 2% of architects said interest in outdoor living was declining. Other survey results, which are being released today in Los Angeles at the institute’s annual convention:

Home size: The McMansioning of America may finally be approaching its tipping point. Only 32% of the firms reported a rising interest in larger homes; that’s down 10 points from last year. Seventeen percent of survey respondents reported a decline in larger homes.

Accessibility: More firms report increased demand for single-floor plans, a trend largely attributed to an aging population and homeowners’ desire to accommodate the physical needs that come with old age.

Informality, privacy: Open floor plans continue to grow in popularity, as younger homeowners eschew formal room divisions. Outside, however, fences and other lot boundaries are more important.

Market change: The market for “affordable” projects or first-time home buyers has weakened substantially. “My interpretation is that we have seen changes in adjustable rate mortgages,” Baker said. “First-time buyers are tapped out. They have hit a wall. The question is: Will that work its way up the ladder? Will the folks who are looking to trade up to a larger home be next?”

-- Craig Nakano