How Much Do You Save on Small Housing?

Is a Small, Cheap House Really Worth it? What you Actually Save.

One of the most interesting concepts that really has thrived during the 2009 recession, is the idea of “tiny houses.” The idea that you don’t need as much space as you think, and the financial freedom that owning a tiny house provides is worth the sacrifice. People often build houses so small (120 – 250 square feet), that they place them on small trailers to avoid taxes, and become legit property squatters. Sadly, this article does not go that extreme. To me, the tiny house movement simply is too novel and the sacrifice is too great (composting toilets, lack of water, etc.).


This article wants to consider smaller housing, but also wants to keep the sacrifice to an acceptable level. Therefore I will use real, local, and viable house comparisons. I will be comparing a $100k house versus a $250k house in my area.

So the first question that needs to be answered is: Can you be happy in a small, cheap house?

Sure living in a small, cheap house looks great on paper and think about all of the money you are going to save, but do you actually net enough to justify the plunge into small house living?

Let’s take a look at some Pros and Cons of cheaper, smaller housing.

Cheaper Housing: $100k house in my Area jQuery(document).ready(function($) { $.post('', {action: 'wpt_view_count', id: '223'}); });

2 thoughts on “Is a Small, Cheap House Really Worth it? What you Actually Save.

  1. I think if early retirement is your sole goal, then sure, the tiny house thing is a great option (especially if you don’t have a wife or family to persuade either!). But I agree for me the sacrifice would be too great – I highly value a nice home in a nice area, and am prepared to work hard for it even if it means financial independence gets pushed back some way.

    Good luck with your next steps on the property front!

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