Welcome, visitor! [ Register | Login

The Tiny House: Is Downsizing Really Cheaper?

Tiny House September 13, 2017

We have heard so much about the “tiny house movement”, it is an ever evolving subject. Many people choose to move into a tiny house because they feel that they will save money, if not right away, definitely in the long run. Is it cheaper to move to a tiny house and if so, what are the forgotten costs of making this decision?

Buying or Renting?

Does it make more sense to buy or rent a tiny house? It depends on your financial situation. Many older people find it to be a great investment and a worthwhile move, even those still raising one or two children, because they ususally have the savings or a property they already own to use as collateral or sell, in order to make the move easier and cheaper. It can cost anywhere from $10,000 to $40,000 to build a tiny house from the ground up. Many buyers put down a very significant down payment or pay for the entire home at once. Many Millenials (the latest generation) find it simpler and cheaper to rent a tiny home because they haven’t yet built up enough savings or collateral to purchase one.

Renting or Buying Land?

Most Millenials rent land even if they buy or build their homes themselves. It is simply much cheaper to pay a price each month for your land than to buy it outright. Most land is too expensive for that, costing in the tens of thousands of dollars to purchase. Particularly when you rent a tiny home, it is often inside of a community and you pay a fee for the land that is yours. These types of tiny home situations often have a main house for cooking, showers, and the use of computers.

Live in a tiny home or rent it out?

For those who want to own a tiny home as an investment, you have a couple of choices. You can live there for a while to have the tiny house experience or you can rent it out right away. If you are the owner of a tiny house with land that you also own, it can be a good investment. By renting it out you give yourself a monthly paycheck that will be able to pay off the purchasing and/or building of the home or to use as you please if those bills do not exist. Purchasing a tiny home to rent out can be a lucrative project if you’ve already got a home of your own.

Source: Is the Tiny House Movement Worth Investing in?

No Tags

16 total views, 2 today

  

  • What Does it Cost to Live On a Houseboat Year-Round

    by on July 7, 2017 - 0 Comments

    The idea of living on a houseboat year-round sounds like being on a permanent vacation, but if you’ve never done it, there will be things that will come up that can be quite costly. But is it necessarily expensive to live year-round on a houseboat. Let’s explore what it takes to live this dream and […]

  • Really Cool Beds for Van Dwellers

    by on July 6, 2017 - 0 Comments

    You may be wondering where and how, those who live out of their vans sleep comfortably. You may also be someone thinking about buying a van to convert into a living space and wondering what options you have for bedroom furniture. It takes no genius to realize that it would require a genius to put […]

  • Live in Bus, Trailer, or Camper: How Do You Find Legal Parking?

    by on June 29, 2017 - 0 Comments

    This is the era of unusual dwellings. People are choosing to give up the traditional house with a mortgage, 2 1/2 kids and white picket fence, to live the freestyle life. They can go where they want, visit places they never had time to see, make new friends on the road, and find out just […]

  • 5 Fabulous Tiny Homes Built for Under $20K

    by on July 6, 2017 - 0 Comments

    One of the major reasons why so many people are downsizing and trying out a lifestyle with a smaller carbon footprint on our planet is because of the lower cost of the tiny home. You can basically have all that you need in a tiny home and many things you actually desire as well, with […]

  • Incredible self-deploying buildings pop up in 8 minutes flat

    These incredible self-deploying buildings pop up in 8 minutes flat

    by on July 12, 2017 - 0 Comments

    We live in times where everything is planned and deadlines are more crucial than ever. This time-conscious society is no different when it comes to building homes and offices. People want things done right away and that’s the market for these self-deploying buildings that pop-up in 8 minutes flat. It sounds unbelievable but this is […]