The average size of a tiny house is between 100 square feet and 400 square feet. By comparison, the average size of new homes built in the United States in 2013 was about 2,600 square feet. A compact living space is attractive to individuals of all ages, including college graduates, newlyweds, and retirees.

The recent financial difficulties have forced everyone to make difficult choices when it comes to the household budget. Many people downsize everything in their lives from the cars they drive to the homes they live in. For some, the move toward single-family homes is about saving money, but for others, the opportunity to live a simpler life is just as great.

One of the most obvious advantages of such a small home is that the owner does not need a large plot. The house is portable enough to move virtually anywhere. Manufacturing costs are low because builders don’t need as many materials and it takes fewer hours to assemble. That leads to a significantly lower price tag that makes it affordable for more consumers. Tiny house owners don’t have to worry about taking out a 30-year mortgage just to keep a roof over their heads.

The savings continue long after moving into this type of house. They are much cheaper to heat and cool than a house that covers a few thousand square meters. Miniaturized devices cost less to buy and require fewer resources to operate.

New construction traditionally puts a strain on the earth’s natural resources. Moving into a tiny house is particularly attractive to those people who want to reduce their carbon footprint. Due to their size, many of these homes are built with recycled materials. After they are built, they are energy efficient and produce less waste.