The tiny house movement is very attractive to people who are searching for ways to lower their cost of living in order to work less or avoid a mortgage. While it’s common to see claims on the internet of tiny homes being build for only $5,000, less than one year’s rent for many people, these sticker prices often don’t include other costs associated with buying and living in a tiny house. Before you get your hopes up about the rent-free life a tiny house can offer, consider these unseen expenses.
Tiny Homes – The Up Front Cost
As it turns out, the $5,000 tiny home is rare. Even an experienced builder with access to salvaged material can more likely expect to spend $15,000 on a tiny house. A custom-build tiny home with all planning labor outsourced can be had for figures in the $80,000 range. Still, these prices are cheaper than a conventional house, but it will take more than a few months of saving your paycheck to afford. Even if you do all the planning yourself, you will likely need to hire out some of the labor to a carpenter, electrician and plumber.
Buying Land for your Tiny House
When you buy a conventional house, the lot of land is part of the package. Tiny homes do not come with land, so if you plan on parking somewhere long-term, you’ll need to shell out for your own acreage.
A mobile tiny house can be ideal for this who wish to move around with the seasons. However, this life is far from rent free. In order to park your mobile house and get access to utilities, you will need to pay rent at an RV park (typically $300), or bargain with a landowner for a place to stay. As you can see, a tiny home does not necessarily eliminate your monthly rent bill.