Buyers Aren’t Paying for Size Like They Used To. Zillow’s Data Explains Why

If you’re thinking of selling in 2026, you might think bigger rooms, formal spaces, and neutral paint colors equal higher value. 

But today’s buyers aren’t shopping that way anymore, and new Zillow data backs that up.

After reviewing 20 years of for-sale listings, Zillow found buyers now care more about practical layouts and manageable sizes, along with features that help keep long-term costs under control.

To understand why, it helps to look at how home design priorities have changed over the past two decades, starting with the rise and fall of the McMansion era.

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Why Bigger Doesn’t Automatically Mean More Valuable Anymore

For a long time, size felt like a safe bet. More square footage was easy to point to when justifying price, especially during the height of McMansion-style homes.

Zillow’s 20-year review shows newer homes have been getting smaller, not larger, and buyer interest has followed. 

Cost and usability are driving that change. Bigger homes often bring:

  • Higher energy bills

  • Higher insurance premiums

  • More ongoing maintenance

Oversized rooms and dramatic features like two-story foyers still photograph well, but they get buyers thinking: 

  • How expensive will this be to heat and cool?

  • Will this space feel drafty or uneven in temperature?

  • How expensive is it to insure a house with this much volume?

  • How much of this space will we actually use?

  • What does it cost to replace or repair windows this size?

Many buyers now see more value in how well a home functions and how manageable it feels to live in. A smart layout with a reasonable footprint often connects more than extra square footage that drives up monthly costs.

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Layouts, Finishes, and What Actually Stands Out to Buyers

Once buyers are inside the home, Zillow’s listing data shows they’re placing less value on rooms designed for occasional use and more on spaces that serve a clear purpose.

That shift shows up in how buyers evaluate layouts:

  • Openness where it helps everyday living

  • Separation where privacy or quiet matters

  • Spaces that feel usable year-round

Zillow has seen a 48% increase in listings mentioning reading nooks, pointing to demand for contained, quiet spaces within the home. 

Buyers are asking themselves whether there’s a place to work, take a call, or decompress, and whether the layout works when the house is full, not just when it’s staged.

Design choices are being judged differently, too. 

Many sellers still default to neutral finishes to avoid turning buyers off. Zillow’s data suggests that approach doesn’t always pay off. Mentions of color drenching are up 149%, and Zillow’s paint analysis found buyers were willing to offer more for homes painted in darker colors like:

  • Olive green

  • Navy blue

  • Charcoal gray

The goal isn’t to chase paint color trends, but to avoid stripping away personality in the name of playing it safe. 

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What Buyers Mean Now When They Talk About “Good Upgrades”

Upgrades used to mean finishes. But today’s buyers are focused on features that affect comfort, monthly costs, and long-term reliability. 

Zillow’s data shows growing interest in wellness and efficiency features:

  • Spa-inspired bathrooms are up 22%

  • Golf simulators are up 25%

  • Pickleball courts are up 25%

Energy-related features are gaining even more traction:

  • Zero-energy-ready homes are up 70%

  • Whole-home batteries are up 40%

  • EV charging stations are up 25%

During showings, these upgrades prompt planning-focused questions:

  • What will our utility bills look like?

  • How insulated and efficient is this home?

  • Is it set up for electric vehicles or future energy needs?

  • Will these features help protect us from rising insurance or climate risks?

Zillow notes that climate-resilient features are increasingly being called out as selling points. Features that lower ongoing expenses and reduce uncertainty often carry more weight than finishes that look new but cost more to maintain.

When buyers leave a showing, they’re deciding whether the home feels workable for real life, not just appealing on paper. Homes that communicate efficiency and livability tend to connect more strongly in today’s market.

I’ll leave you with this perspective from Zillow home trends expert Amanda Pendleton:

“If the past 20 years transformed homes from status symbols into personal sanctuaries, the next 20 will be about adaptability. Our homes will be better able to evolve with changing families, changing climates and changing lifestyles.

We expect future homes to be more flexible, resilient and deeply personal. The smartest homes won't feel high-tech; they'll feel intuitive, lived-in and supportive.”

Joseph Ranola | Five-Star Staten Island & South Brooklyn Realtor® (50+ Google reviews)
Associate Broker · Real Broker | Team Leader · Bridge & Boro Team
Serving 103xx and 11209 / 11214 / 11228 | $30M+ closed volume
📞 917-716-1496 | ranolarealestate.com

 

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