From the 1950s to Today: 12 Ways Homeownership Has Evolved Over 70 Years

My Gen-Z and Millennial nieces and nephews often point out how it’s harder for them to get houses these days. Still, affordability is only a small part of how homeownership has evolved since the 1950s.

When I hear stories about my parents’ youth or see pictures of their childhood homes, it’s always a wake-up call. Things are drastically different now when it comes to houses, from layouts to mortgages. Some of my go-to topics to binge on YouTube are real estate, personal finance, and interior design, and many times these subjects overlap.

It’s interesting to see how things have changed over the past several decades. Sometimes, changes are for the better, and sometimes they’re not. But, any way you slice it, homeownership looks differently today than it did in the nifty fifties.

1. Homes Are Bigger

One of the differences in homeownership since the 1950s is bigger homes. The average home size in 1950 was 983 square feet, compared to 2,411 square feet in 2023 (according to the National Association of Home Builders-NAHB).

Although square footage has been trending downward over the past few years, homes are still much bigger than they were 70 years ago. Reasons for larger homes include children staying at home longer, the rise of remote work, owning more stuff, and keeping up appearances.

2. More People Own Homes

Overall, homeownership rates have increased since the 1950s, although there are variations depending on age and other demographics. But if you pan out and look at the big picture, more people own homes today than then.

This rise in home ownership could be attributed to a few factors. First, there’s been over a 50% increase in the US population, so more people, more homes. Plus, restructuring various mortgages and other lending practices may make buying a home more accessible for some.

3. The Median Home Price Has Increased

The median home price in 1950 in the United States was $44,600 in today's dollars. Today, the median sale price for homes in the US is $404,500.

Yes, prices have gone up for everything in the past 70 years. However, this is still a big difference in how home ownership has evolved since the 1950s.

4. Kitchens Are Gathering Places

Kitchens in the 1950s were typically closed off from the rest of the home. They were used to prepare and cook meals, which were served in a separate dining room. The kitchen wasn’t generally a place your guests saw.

However, in the 1960s, a more laid-back attitude brought forth the concept of a more open floor plan. Kitchens became gathering places, and the trend continued through the following decades.

Today, many people have open-concept kitchens that flow into living areas and become additions to entertaining spaces. The kitchen island is a popular hang-out and conversation hub in many modern homes.

5. There Are More Single-Person Households

In the 1950s, only 9% of homes had one person living in them. Consequently, most households were married couples or families, with an average of 3.51 people, according to census records.

Today, it’s not uncommon to find someone living alone and owning a home solo. The United States Census Bureau puts one-person households in the US at approximately 37.9 million as of 2022. In a recent report from NAR (National Association of Reports), 28% of recent home buyers were single.

6. Housing Is Less Affordable

Housing is less affordable these days for several reasons. For one thing, the price-to-income ratio for housing has increased.

The median household income in the 1950s in the US was $2,990, and the median home price was $7,354 (in 1950’s dollars). You would need about 2.5 times your salary to buy a home. In 2023, it would take roughly five times your salary. (Based on the previously mentioned median home price of $404,500 and a median income of $80,610.)

Declining supply and rising interest rates, property taxes, and homeowners insurance also make owning a home more expensive.

7. More Bedrooms and Bathrooms

Homeowners today enjoy more bedrooms and bathrooms in their houses since most homes are larger than in the ‘50s. Plus, it’s not uncommon for some of these extra bedrooms to become flex spaces since household size has decreased.

The majority of new homes today have four or more bedrooms and two or more bathrooms. My mom’s childhood home had two bedrooms and one bathroom. Also, the bedrooms and bathrooms were typically smaller than the ones today.

8. Basements Are Entertainment Spaces Instead of Fall-Out Shelters

In the 1950s, basements were usually storage spaces and doubled as fall-out shelters. People were ready for another war, bomb attacks, and the possible end of the world.

Today, basements are often converted to additional living space. They can be game rooms, media spaces, or even rented out as apartments to bring in extra income.

9. More Mortgage Options

There are so many mortgage options nowadays that it can be hard to keep track. But this smorgasbord of lending options has made homeownership attainable for more people.

Unfortunately, this isn’t necessarily a good thing. Certain mortgages, like ARMS, can lead people to purchase a home before they have the financial footing to do so confidently.

10. Homeowner Debt Is Higher

Owning a home these days often means higher debt. According to Motley Fool Money, mortgages make up roughly 70% of homeowners’ household debt.

It wasn’t the same in the 1950s when the GI Bill and VA loans accounted for over 50% of mortgages. People who were purchasing homes also typically had larger down payments.

With modern mortgage practices, like low to no down payments, people get into homes faster. Many do so before they are truly ready to buy or can feasibly afford it, hence, more debt.

11. Homes Are Less Formal

In the 1950s home, more formal areas were maintained for entertaining guests, such as living rooms and dining rooms. Guests didn’t go into the kitchen, bedrooms, or den, which were considered spaces for the family.

Today, homes are more casual. We rarely block off any rooms when we have guests (unless one’s a mess). There is no formal dining room or separate sitting room for visitors.

12. More Focus on Safety Features

A positive evolution in the homeownership space is the increase and improvement of safety features. Today, we know the dangers of bygone construction materials like asbestos, galvanized water pipes, and lead paint.

In the 1950s, there weren’t smoke alarms like we know them today. The first affordable, battery-powered smoke alarm was invented in 1965 by Duane D. Pearsall and Stanley B. Peterson.

Insurance companies often offer discounts for homes with monitored fire and burglar alarms. Carbon monoxide detectors are readily available at home improvement stores. Furthermore, you can control many features remotely with your smartphone.