seemed very spacious to us, 3 bedrooms. It would have easily worked if we would have had kids at that point. I doubt I could find options for new homes under 1400 feet where I live, I dont think they are even building homes that size.

The affordability crisis is multifaceted, its not just that the price per sq foot has gone up significantly, its also, to your point, that people are buying homes with more square footage which makes the home even more cost prohibitive.