Whether you’re a first-time home buyer, an empty nester looking to downsize or the head of a household full of kids, before you start house hunting it’s a good idea to ask yourself, “How big a house do I really need?”
Getting preapproved for a mortgage is a good place to start when figuring out how much lenders think you can afford. How big a house you need also depends on relevant personal factors. For example, having too much square footage can be a strain on your budget, while not having enough space for a growing family can present other difficulties.
This article will help you learn how to calculate and what to consider when trying to decide what size house you need for your family, budget and lifestyle – because bigger doesn’t always mean better when you’re shopping for a home.
Key Takeaways:
- Budget, family size, personal preference and location are some of the factors to consider when deciding on the size of a home.
- To calculate how much space you need, some home experts suggest aiming for 600 square feet per person in your household. This is not a science, however, and some homeowners can be comfortable in less or require more.
- Larger homes frequently cost more than smaller ones, but not always.
- U.S. Census Bureau data shows that the median size of a completed, newly built single-family home was 2,210 square feet in 2024.
How To Calculate What Size House You Need
The most recent figures (2023) from the National Association of Home Builders, as reported by the National Association of Realtors (NAR), showed that home buyers were looking for a median of 2,067 square feet – hardly an oversize McMansion, but significantly larger than a tiny house.
According to the U.S. Census Bureau, the median size of a new single-family home sold in 2024 was 2,210 square feet.
If you want to calculate what size house you may need, some real estate professionals suggest estimating around 600 square feet per person in your household. But there’s no industry standard for necessary square footage: Some sources recommend as little as 400 square feet per person, while others go as high as 700 square feet. The point of calculating square footage by number of residents is to get a general suggestion, rather than a rigid set point to follow.
For our purposes, let’s use 600 square feet per person for calculating what size house you need (based on square footage alone). Multiply 600 by the number of people in your household. If you are planning on growing your family or taking in an older relative, it doesn’t hurt to take them into account ahead of time. If you want to use a larger or smaller figure to calculate, simply swap out the 600 number for another one.
Based on 600 square feet per person, here’s a quick calculation based on family size.
| Number of People | Square Footage |
|---|---|
| 1 | 600 sq. ft. |
| 2 | 1,200 sq. ft. |
| 3 | 1,800 sq. ft. |
| 4 | 2,400 sq. ft. |
Factors Affecting How Big A House You Need
Each individual or family will have different factors that impact how big a house they should buy or build. You need to consider present needs and wants, along with potential future plans. Budget, current and anticipated family members (and pets) and your lifestyle and home preferences can all affect how big your home should be.
In addition, consider how long you plan to reside in the home. Is this your forever home or your starter house? While you can’t predict precisely how long you will live in your home, according to a 2025 report from Redfin, a typical U.S. homeowner lives in their home for 11.8 years, except in California, where it’s close to two decades.
Family Size
The first factor to take into consideration is how many people will be living in the house full-time. The second is how much space each person really needs to be content. For domestic partners who have children, or are planning to or to have more, questions to consider include whether each child will have their own bedroom, how many full bathrooms are needed and if one or both partners will require a home office.
Major Life Changes
Life always brings change. If you know you want to put down roots in your next home and stay there for decades, you should find a house that can be expanded or renovated to meet different needs over time. Things to anticipate include additional family members, as well as the changing needs of all family members as they grow older.
It’s also important to consider how much house you can afford – often, the bigger the house, the larger your mortgage – because life’s unexpected curves (e.g., job loss) and planned expenses (say, a kitchen renovation) can impact your finances. Your monthly mortgage payment shouldn’t be so high that your budget can’t survive a financial hit.
Housing Budget
When considering how big a house you need, knowing your total housing budget is vital. This includes not just your mortgage payment, but also property taxes, insurance, utility bills and regular maintenance such as lawn care, snow removal and cleaning.
Use a home affordability calculator or mortgage calculator to help you determine how much house you can afford based on your income, debt payments (such as student loans) and taxes. Current interest rates on mortgage loans are also important to consider when applying for a mortgage.
While it may be tempting to pay more for a larger space with upgraded interiors, if you can’t afford your monthly mortgage payment, you can risk falling into foreclosure. Becoming “house poor” to have more space isn’t worth it. You can always renovate, expand your home or move if the home isn’t functional for you over time. If your heart is set on owning a larger home, consider ways to improve your finances and your chances of being approved for a mortgage with a lower interest rate and better terms.
Location Vs. Home Size
The cost of a home per square foot can vary depending on whether the home is located in a rural area, the suburbs or a city – and it can even vary within the same ZIP code. Ask your real estate agent in advance about the average cost per square foot in the neighborhoods you plan to house hunt in. From there, you can decide which is more important to you, location or home size, to find a good fit for your finances.
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Signs You Need To Upsize Your Current House
- You don’t have enough bedrooms for a growing family
- You have an aging family member moving in
- You need an additional bathroom for more privacy
- You need more space for recreational living
Take The First Step To Buying A Home
Find a lender that will work with your unique financial situation.
Signs You Need To Downsize Your Current House
- You have a lot of unused or wasted space
- You cannot afford your mortgage or property taxes
- You have less time and/or energy than required for maintenance and cleaning
FAQ
The Bottom Line: Choose the Right Home Size for Your Lifestyle and Budget
For anyone getting ready to buy a house, whether a first home or not, it’s important to take a close look at multiple factors – namely current lifestyle, income/budget and plans for the future – before deciding how big a house they need and can afford.
Ben Shapiro
Ben Shapiro is an award-winning financial analyst with nearly a decade of experience working in corporate finance in big banks, small-to-medium-size businesses, and mortgage finance. His expertise includes strategic application of macroeconomic analysis, financial data analysis, financial forecasting and strategic scenario planning. For the past four years, he has focused on the mortgage industry, applying economics to forecasting and strategic decision-making at Quicken Loans. Ben earned a bachelor’s degree in business with a minor in economics from California State University, Northridge, graduating cum laude and with honors. He also served as an officer in an allied military for five years, responsible for the welfare of 300 soldiers and eight direct reports before age 25.
