…Despite all the attention on tiny houses and the success of some small builders, almost no major homebuilding companies have latched on to the movement and tried out their own line of tiny houses.
Why have larger firms seemingly cast tiny house options aside? Is it possible all the hype won’t result in any tangible ramifications for the housing market?
Mattamy Homes COO Brian Johnston told Construction Dive, “Fundamentally, ground-oriented housing is not efficient, and proportionately, too much of the cost is chewed up by high land cost. The answer is going up in the air, not trying to cut construction costs by building smaller homes.”
The nation’s largest homebuilder, D.R. Horton, did experiment with micro-homes a few years ago and developed the Division 43 complex in Portland, OR, which included 29 homes with sizes ranging from 364 square feet to 687 square feet. The net-zero properties sold for $100,000 and up.
However, despite the success of that project, no other production homebuilders — including D.R. Horton — tried to replicate the effort, according to Lehnert.
“The problems are the cost to construct. I think that builders shy away because no one has designed a production-esque type of tiny house,” he said. “Most builders are staying with the traditional.”