As we approach 2025, certain home styles are seeing a decline in value.
Changing market preferences, emerging technologies, and evolving lifestyle needs are influencing these shifts.
If you own one of these homes, understanding the reasons behind their depreciation is essential. Here, we explore 6 types of homes that might pose a risk to your investment.
From classic Victorian houses to modern cookie-cutter developments, let’s navigate the landscape of shifting real estate values and discover what actions you might consider.
1. Victorian Homes
Victorian homes, with their intricate designs and historical charm, seem timeless. Yet, in 2025, they face challenges. The high cost of maintenance and energy inefficiency are major concerns.
Many buyers prefer modern, low-maintenance homes, making Victorian styles less appealing. For owners, investing in energy-efficient upgrades could mitigate depreciation.
Also, marketing the home’s unique historical value might attract niche buyers, preserving its worth.
2. Ranch-Style Houses
Ranch-style houses, once quintessential American homes, are witnessing a decline. The sprawling floor plans can lead to inefficiencies in energy use.
Modern buyers lean toward compact designs and sustainable features. Owners might consider renovations that enhance energy efficiency and utilize space effectively.
Adding contemporary elements can also boost appeal and value.
3. McMansions
McMansions, with their grandiose sizes and mixed architectural elements, are losing their charm. They often symbolize excess rather than practicality.
Today’s buyers seek sustainable, efficient living spaces, making these homes less attractive.
To retain value, owners might focus on reducing the carbon footprint and optimizing unused space.
Highlighting unique features can also attract interested buyers.
4. Suburban Cookie-Cutter Homes
Suburban cookie-cutter homes are increasingly seen as bland and uninspiring. The lack of uniqueness and customization limits their market appeal.
Buyers are drawn to personalized, character-filled dwellings. Owners could consider adding unique features or redesigning interior spaces.
Enhancing curb appeal and offering customization options might help maintain their value.
5. Industrial Loft Conversions
Industrial loft conversions, once prized for their uniqueness, are now less favored. The open, expansive spaces may not suit families seeking defined living areas.
Increasing demand for functional, cozy environments could further impact their appeal. Owners should consider adding partitions or defining spaces for specific uses.
Emphasizing the loft’s versatility and urban charm can help sustain interest.
6. Split-Level Homes
Split-level homes, popular in the ’60s and ’70s, are losing favor. Their complex layouts can be off-putting to buyers preferring open spaces.
Renovating to create open-concept areas may attract modern buyers seeking fluidity.
Enhancing energy efficiency and updating interiors can also add value.