5 Reasons the Tiny House Movement Will Stick Around
The American Dream is to have a nice big house, a couple of cars, and enough disposable income to travel. Unfortunately, fewer people are living that dream because the cost of living eats up much of their monthly income. That’s where the tiny house movement comes in.
What is the Tiny House Movement?
You may have never heard of the tiny house movement, but it may become a revolution that sticks around for years to come because of the many benefits tiny house residents are getting.
On average, a family home is between 2,000 and 3,000 square feet. The trend over the last several years has been toward more and more space. But the more space inside of your home the more the home is going to cost. Instead, people choosing to live in tiny houses are going extremely small, opting for homes that are less than 400 square feet.
This is adding up to thousands of dollars in savings and freedom to actually enjoy life more, using their surplus of disposable income. Here are five of the top reasons this movement will likely stick around.
#1: Get Rid of Your Mortgage
Over the life of a 30-year mortgage, you will end up paying over a million dollars for your house. That’s a lot of money going out each month. Nearly 70% of people living in tiny houses don’t have a mortgage whereas less than 30% of homeowners in America can say they have no mortgage.
#2: Drastically Reduce Your Carbon Footprint
Cutting costs is not the only reason people are opting for tiny houses. In the environment today, where energy efficiency and green living are imperative, living in a tiny house, will drastically reduce your carbon footprint. With that, you are also helping to save the planet.
#3: Save More Money
Of course, the biggest boon to living in a tiny house is the amount of money you can save. Most Americans struggle to build up a healthy nest egg and many just can’t afford to put money aside at the end of the month. Compare that the majority of tiny house people who have nearly $11,000 saved up. Less costs for buying a home, no mortgage to speak of and with less space, less energy use, and you can see just how quickly the savings add up.
#4: Homeownership for Much Less
Owning a tiny house is much easier to do than owning a typical 2,500 square-foot home. Many tiny house people build their homes with their own hands for between $25,000 and $70,000 depending on how big they want their tiny house to be. Instead of paying a million dollars over 30 years to own a home, you can get a home builder loan that you can pay off in five years or less.
#5: Financial Solution for Retirement Aged Adults
Believe it or not, the majority of tiny house people are over 50 years old. That’s because when you are nearing retirement age, saving up for post-retirement becomes your raison d’être. Considering how much one can save by downsizing to a tiny house, it makes perfect sense that this group is joining the movement.