The latest home size trends report from CommSec reveals that Australians are once-again building the biggest houses in the world.

This is a reversal, as for the last seven years house sizes had been shrinking.

The average size of a home built in the 2019 to 2020 fiscal year was 235.8 square metres, an increase of 2.9 percent from the previous year. In the 2018 to 2019 fiscal year, new house sizes were the smallest in 17 years.

The 7-year trend of shrinking houses was attributed to various factors: rising prices and affordability, the desire to live closer to urban centres, fewer residents per home, and energy costs.

There are a few factors at play that could explain why Australians suddenly want bigger homes again. Extended periods of working from home has changed what people want in their home, and bigger homes with more office space was number one on the list.

The HomeBuilder grant would also be contributing to this, as well as the various State-level homeowner grants. These grants make it an excellent time to build a home and get something bigger, since you can get more bang for your buck.

As restrictions ease and we start to head into a COVID-normal environment, it will be interesting to see if these housing trends continue.