New Construction Trends Affecting Property Values

The real estate market is constantly evolving, and in 2025, new construction trends are reshaping how properties are valued. At Citadel Valuation Group, we help clients across Texas and Oklahoma understand how these trends impact residential, commercial, and land valuations.

Here are the key construction trends influencing property values today:

1. Sustainable Building Practices

Green construction isn’t just a buzzword anymore — it’s a mainstream expectation. Energy-efficient buildings, sustainable materials, and LEED certifications are not only environmentally responsible but also boosting property values. Buyers, tenants, and investors are willing to pay a premium for properties that reduce operational costs and environmental impact.

For appraisals, sustainable features such as solar panels, energy-efficient HVAC systems, and smart home technology are being factored into value assessments more heavily than ever before.

2. Mixed-Use Developments

Developers are increasingly combining residential, retail, and office spaces into single projects. Mixed-use developments offer convenience, walkability, and lifestyle appeal — all of which command higher property values.

Properties located near or within mixed-use environments are generally seeing strong appreciation, especially in urban and suburban growth corridors like Austin, San Antonio, and Oklahoma City.

3. Modular and Prefabricated Construction

Modular construction and prefabricated building techniques are gaining traction because they offer faster build times and often lower costs. While historically associated with budget projects, advancements in design and quality now mean these buildings can compete with traditional construction.

In valuation, it's critical to assess the quality, design, and location of modular buildings to determine their true market impact — they are not automatically discounted as they once were.

4. Outdoor and Flex Spaces

Since 2020, there’s been a lasting shift in demand for properties that offer outdoor amenities and flexible work or living spaces. New construction projects that include:

• Outdoor seating areas

• Private balconies

• Home offices or flex rooms

• Shared green spaces

...are achieving higher price points and stronger absorption rates.

Appraisers are taking these design upgrades into account when assessing comparable sales and calculating adjustments.

5. Tech-Integrated Smart Buildings

Smart building features like keyless entry, energy monitoring, app-controlled lighting, and advanced security systems are now standard in many new developments.

Properties that incorporate technology in meaningful ways (beyond just cosmetic upgrades) are commanding higher rents and sale prices, especially in the multifamily, office, and hospitality sectors.

Final Thoughts

Construction trends are not just changing the way properties are built — they’re changing how they’re valued. Appraisers must stay ahead of these trends to ensure fair, accurate, and defensible valuations.

At Citadel Valuation Group, we combine real-time market insight with deep appraisal expertise to help our clients navigate an evolving real estate landscape.

Looking for an appraisal partner who understands today’s construction trends and their impact on value? Let’s connect.

Citadel Valuation Group
Commercial and Residential Appraisal Experts | Texas & Oklahoma
www.citadelappraisal.com