As a custom home builder in the Triangle, we've seen demand for formal living rooms reach a new low every year. Many floor plans no longer include them, but use the space for an office, a library, or a first floor guest bedroom. The other room that's really decreased in demand is the formal dining room. Dining is becoming more casual, and a large portion of the homebuyers we work with would rather see that square footage used for something else, with an emphasis on a gorgeous kitchen, larger "breakfast" dining area, and big Great Room. Even for plans that contain a formal dining room, many homebuyers are adding French doors on both sides of the room so that the room can be used as an office, but also converted back to a dining room upon occasion or upon resale.