Buyers want more house? Or builders want richer buyers? Starter homes generally just don't get built, as it generally costs more per square foot to build a sta

Buyers want more house? Or builders want richer buyers? Starter homes generally just don't get built, as it generally costs more per square foot to build a start home than a larger home (as some of the features are going to mostly cost the same regardless of the floor plan, such as some of the kitchen outfitting). The reduced supply moreover makes it so smaller houses don't even end up costing much less, because there's enough demand for them from people who not only don't need the space, but would prefer not paying the utility bills and dealing with the maintenance.