How Much Does a Tiny House Cost
How much does a tiny house really cost?
The price of a tiny home can vary widely. They can be as inexpensive as $10,000 or as expensive as $150,000 for the same amount of square footage. We will explore the reasons for the huge price differences and how you can determine if your tiny home, or the one you are considering buying is priced fairly.
Why is there such a huge difference in cost? !
The price range for tiny homes is wide as you can see. This is due to many factors. To determine whether a home is properly priced, we need to establish a benchmark to compare it to. A traditional house uses the Price Per Square Foot metric to determine its value and compare it with other homes on the market. This will help you determine if the house is priced competitively based on its square footage and price.
This metric is less accurate for smaller homes because the cost of construction does not directly proportion to the area. The foundation, kitchen, bathrooms and other systems (think plumbing, electrical, and mechanical) make up the majority of the house’s cost. Tiny homes are just as expensive as big homes. They have the same amenities, but not the extra square footage that a large home has. The cost per square footage of this blank space is very affordable when it is added to a home. This is why the house’s price per square footage starts to drop as the floorplan gets larger.
Because a tiny house can have a very small footprint, you will see dramatic changes in the price per foot. It can go from $100 per square feet to more than $700 per sq. foot. We don’t recommend that you use the price per square foot model to determine the tiny house’s value. There are many other metrics.
How to Determine the Right Price for a Tiny House
A few key factors can have an impact on the cost of a small home. Length, quality, DIY or pro, new or used, and certifications all have an impact on the price of a small house.
When it comes to the price of a tiny house, the overall length is more important than the square footage. The size of the tiny home has an impact on its weight. This determines the trailer chassis dimensions and axle counts. The cost of a single axle to a double axle can increase by multiple thousand dollars. Adding a third axle to the trailer will make the price rise even more. If the trailer is well built and uses the best axles, drop-axle kits, tires, and wheels, we have seen tiny house trailers with one axle for as low as $2,000, and larger triple axle trailers for up to $15,000, if it is properly maintained.
A quick comparison of price can be made by using the price to length metric. This will allow you to determine if the tiny house has been priced fairly competitively.
Each tiny house’s quality can be higher than that of a traditional residential property. The reason is that the residential market has established an expectation for the quality of the housing market. But, this is not the case in the tiny home market.
Because the market is newer, tiny homes can serve a wider range of purposes and audiences. Tiny homes can be used as homes, vacation homes or business showrooms. They also work well in home offices, home offices, ADUs and campers. Tiny homes can be built in 200 sq. feet to provide a luxurious feel or use reclaimed materials to keep it simple. You don’t often see the same luxury quality in regular homes, except for mansions or larger homes over 5000 square footage.
It is important to look at quality from an objective perspective. It is important to know the types of flooring, countertops, cabinets and trailer chassis used, as well as the roofing, tile and insulation materials that were installed. This will give an idea of the quality of the home’s finish. If you only consider the materials, a tiny house of high quality can easily cost between $20k and $50k.
Quality goes beyond the material.
Professional or DIY
This is why you will see many tiny homes that have been resold with large price differences. A DIY build is cheaper than a professional-built tiny home, and this is reflected in the market. A DIY build is usually more expensive than a small, professionally-built home. This is because of the difference in materials.
Is it worth paying more to have a tiny house built by professionals? We believe so. Although there are many things to consider when purchasing a tiny home, this is one that you should not forget. Although budget is a major consideration, it is important to consider the history of your tiny home. For starters, take a look at who, what, and where it was built.
A certification from a legitimate third party organization will likely mean that your tiny house or small house is at least $5k to $10k more expensive. The reason is that to obtain that certification, the builder (professional or DIY) had to follow certain guidelines and use specific materials in order to pass inspections by the 3rd party organisation.
We recommend this as a criterion when looking at tiny houses. We find that homeowners can save as much as $5k-10k on upfront costs over the lifetime of a tiny house. It is the first layer of insurance. You also get peace of mind knowing that your tiny home has been inspected and that it was constructed safely and correctly.
The price of a home will vary depending on whether it is brand new or used. You’ll find a wide variety of prices for a new home, depending on whether it’s a tiny home or a model.
There are many new small homes that can be found for as low as $40k and as high as $110k. The price range for new custom tiny houses starts at $75k and goes up from there.
You can see that prices can vary widely. It is important to focus on your budget, must-haves, top priorities and ultimate goals for your tiny home.
There are many options available to suit any budget and any lifestyle.