New-Construction Insights: Builders Deliver Smaller and More Affordable Homes in These Metros, but Tariffs Threaten Progress

Newly built homes are becoming more affordable, with the median list price dropping to $448,393, a 0.3% decrease year over year. The premium on new construction has reached its lowest level since 2020, and in 26 of the 100 largest U.S. metros, both new-construction prices and square footage have declined. However, tariffs pose a threat to this progress, potentially impacting affordability and supply.