Millennials and Tiny House Living
It’s no secret that Millennials cannot afford home ownership.
Entering adulthood during a recession and no job market didn’t exactly set up the millennials generation for financial growth during their 20s, allowing a bulk of the generation to afford a down payment on a home.
There are an estimated 10,000 tiny homes in the US, with the bulk of owners being under 35 years old, according to USA Today.
Millennials grew up in a financial crisis, and many watched as their parents lost everything including their home. For millennials, not being able to afford a house isn’t the only deterrent, it’s the possibility of loosing the house that some say scares millennials away from joining the housing market.
As a result many 20 and 30-somethings are opting for tiny house living, roughly 400 square feet of a home that’s all their own, no mortgage included.
That’s because most millennials buy their tiny homes with cash, mainly because financing options are not widely available in the tiny house world.
For those who are crafty, they opt to build their own home. Others can elect to hire a company and either pay in full or apply for a personal loan through their bank.
Tiny homes range from $24,000 to $100,000 depending on ones preference of house size and wish list.
Still, the option to buy a home free and clear from a mortgage, and have the freedom to take the home wherever you want to go, tends to be a real selling point for the millennial generation.
That and the cost to run a tiny home is less, given utilities will be far cheaper than a traditional house.
As millennials work to find their way through a still unstable economy and dwindling housing market, many may find that living tiny is the best option for them.
The carbon footprint is minimal, and best of all the affordability helps boost millennials into being a homeowner. For some, that’s a home run.