1. It’s just a fad
Tiny houses are trendy now, but will they fall out of fashion? Propelled by the interest in reality TV, the tiny house market is booming. Some analysts, however, speculate that it all just might be a fad. For those truly interested in wanting to simplify their lives by reducing their financial obligations, it’s a viable option. I sold my traditional house and paid cash for my tiny house. Overall my expenses are fewer and cost less, including maintenance, insurance, and utilities. While many are concerned that the interest is artificial and caused by the TV trend, people like me are here to stay. If a tiny house on wheels seems too risky, you can still live small. Find inspiration in the minimal lifestyle and apply it to a home size of your choice.
2. There aren’t many buyers
It’s true real estate agents hate tiny houses. Afterall, they aren’t going to make a lot of money on a tiny house. As a result, I have heard a lot of real estate agents bash them. Because a tiny home only fits a small demographic of buyers in the market, real estate agents tend to steer clients clear of them. Like any new thing, it takes a while to get established but don’t underestimate our market. There are many tiny house dwellers looking to purchase land to carve out their own slice of paradise.
3. Tiny houses are less marketable
Most tiny homes accommodate one or two residents, which means tiny houses may be impractical for many buyers who entertain or host overnight guests, making tiny homes less marketable to the masses. But tiny house builders aren’t trying to build for the masses at large. The average consumer probably needs more space, bedrooms, and bathrooms than a tiny home offers. But that, in part, is also the appeal of a tiny house. Some people, like me, actually want a smaller footprint. I don’t need 2,000 square feet. 204 square feet, suits me just fine. I live in the Pacific Northwest near a Navy base. We have a severe housing shortage. Tiny houses would help ease the crisis in my area. When I go to sell my house, it will be an affordable option for a young couple or a single person who doesn’t want to deal with roommates.
4. The space is too tiny
A tiny house isn’t for everyone. If you are a hoarder, a tiny house isn’t going to work for you. But if you are one of the millions of people that are sick of “keeping up with the Joneses” and having to work overtime to pay for it, living in a tiny house can you get out from under that. The money you spend on outfitting your 2000 square foot house could be a European vacation. One of the great things about having a tiny house built is the ability to have it customized and designed for the way you live. Today the tiny house demographic is changing. Families are even moving into tiny houses. The size and configuration are entirely up to you! What makes tiny houses practical is that you are only building for space you actually use. There is no unused formal dining room or living room. Every square inch is used and lived in.
It’s true that living in a tiny house forces you to make more use of your outdoor space. When we have a party or want to have friends over, we simply entertain outside. It works for the way we live.
5. Tiny houses are expensive
Overall, downsizing does help you save money. While the cost per foot may be slightly higher when building, there are far fewer square feet to pay for. Also, if you can’t actually downsize you will probably end up spending more…for storage. Even with the cost of storage, most times the cost is still less than a traditional mortgage. And yes, once in a while you may even have to rent a venue if you are having a larger party. However, the one time cost for the venue pales in comparison to the ongoing expense of a larger home.
6. You’ll never get financing for a tiny house
Yes, most lenders have a minimum square footage they will lend on, but as the tiny house market matures more options become available. As I said earlier, I paid cash for my house, but if that is not an option, you can finance directly through RV-certified tiny house builders. Also, securing a loan is easier for tiny house RVs. Because of the RVIA sticker on my tiny house, I am considered a “custom RV.” Other financing services are offered by Prosper, Rock Solid Funding, and SoFi, Some tiny home house builders specifically make their builds RV-certified to help customers find loans. If RV financing is not available to you, you can always consider a personal loan. Of course, the best option for buyers will depend on income, credit history, and assets. Tiny houses are not at all impossible to find funding for.
If you are interested in tiny house living, don’t be discouraged. Take a good hard look at your lifestyle and if you think tiny house living is for you, go for it. I love it. My only regret is that I didn’t pull the trigger sooner.
If you are considering tiny living, tell us why it might be an option for you in the comments below! I would love to hear your story.