This Desert Metro Has One of the Largest Drops in Household Size

Household sizes are shrinking across the country, and a popular spot for vacationers and spring breakers stands out.

It's the Lake Havasu City–Kingman, AZ, metro where the median listing price is $400,000.

The National Association of Realtors® released new research identifying the metro as the spot where the average household size has shrunk the most in the last decade.

In 2014, the area’s average household size was 2.47, but by 2024 it had fallen to 1.96—marking a 20.6% decrease over the last decade.

From a housing standpoint, that trend points to rising demand for smaller properties and homes designed to suit one- or two-person households.

"When households get smaller, the market needs more homes for the same number of people. So even if population growth is modest, housing demand can stay solid because more people are forming their own households," NAR senior economist Nadia Evangelou tells Realtor.com®. 

This shift can be attributed to several factors.

"When an area is seeing smaller households, it usually means fewer traditional family households and more people living alone or with fewer family members," says Evangelou. "Lake Havasu has a large share of older residents, and that tends to push household size down as more people live alone or downsize later in life."

Evangelou says more people are aging in place in Lake Havasu, as well.

"A large percentage of the buyers I work with are retirees, singles, couples without kids, or second-home owners," Lake Havasu real estate agent Lew Jabro, known as "Havasu Lew," tells Realtor.com. "Years ago, more homes were built with full-time families in mind. Today, many homes are built for part-time or lifestyle use, with more emphasis on garage space and open living areas than traditional living space. That lines up with the type of buyer coming into the market."

Jabro says that what brings people to the area is "usually retirement, early retirement, remote work, or people leaving higher-priced or over-taxed states."

"Snowbirds tend to be more price-sensitive and maintenance-minded. They’re often looking for a simpler home, smaller footprint, and lower upkeep," he says.

According to Jabro, empty nesters are a steady part of the Lake Havasu market. "Many are selling larger homes out of state and moving into something easier to maintain," he says. "I also work with buyers who relocate after a spouse has passed. In those situations, the move is often about simplifying expenses and being closer to adult children, family, or an existing circle of friends."

The Lake Havasu lifestyle

Lake Havasu City is such a sought-after retirement destination due to its relatively affordable cost of living, year-round sunshine and warm weather, and abundant outdoor activities such as boating and hiking.

"In the summer market, a lot of buyers are boaters or second-home buyers, and they’ll often accept a smaller house if the garage is right—boat-deep, RV depth, storage, and easy access," Jabro says. "For them, the house size is secondary to the garage and how the property fits the way they use Lake Havasu."

Set along a broad stretch of the Colorado River, Lake Havasu is a reservoir created by the Hoover Dam, offering roughly 60 miles of navigable waterways and 400 miles of shoreline.

The lake is known for its sandy “beach” areas and wide range of water sports, but it’s also home to the London Bridge—famously relocated from London in the 1970s and reconstructed over the river. Along the shoreline, visitors will also find 27 replica lighthouses.

Household sizes also declining in Jackson, MI

While Lake Havasu City is widely known as a retirement hub, Evangelou notes that shrinking household sizes aren’t solely driven by retirees—they can signal a range of demographic shifts.

In Jackson, MI, for example, where the median listing price is $234,900, one-person households are increasing as well.

"The shift is coming from working-age adults, especially those 25 to 44, reflecting delayed marriage and fewer married-couple households in that area," she says.