How Much Tiny Homes Really Cost: A Guide

While the nationwide average cost of a tiny home is $300 per square foot compared to a traditional home’s $150 per square foot, tiny homes are overall cheaper to build or purchase. The average cost of a tiny house is a reasonable $30,000 – $60,000, although they can cost as little as $8,000 or up to $150,000 depending on the amenities you choose to include.

It’s typically cheaper to build a tiny house than to buy one prebuilt, but don’t get too caught up in the savings. You may underestimate the job you’re taking on by choosing to build yourself, as one small mistake can end up costing extra time and money to fix.

Beyond the decision to buy or build, other factors that will affect your overall cost include the following:

• The size of the house
  
  

• Whether you’re building on wheels or a foundation
  
  

• The type of building materials used
  
  

• Building permit costs in your area
  
  

• Access to utilities
  
  

• The type of amenities you choose to include

Because tiny homes are highly customizable, you will have more control over keeping costs low than you would when buying or building a traditional home.

How Much Does It Cost To Build A Tiny House?

Although building your tiny house is the cheapest option, you will still have significant upfront costs to manage. If you decide to build your tiny house, it’s important to mentally, physically and financially prepare for the journey ahead of you.

The reality is most tiny home builders spend anywhere between $20,000 – $60,000 on materials or more depending on your preferences or the supply of materials. Building permits average around $1,350 nationally, although larger floor plans and more custom materials will raise that price.

Tiny houses on wheels tend to be cheaper as well, as the foundation alone costs $4 – $7 per square foot, easily adding anywhere from $5,000 – $8,000 onto the overall project price.

How Much Does It Cost To Buy A Tiny House?

If building isn’t for you, there are also pre-built tiny homes available for purchase. There are prefabricated tiny home providers located across the country, many of which offer free shipping. Although you’re saving significant time and effort by buying a tiny house over building one, it is not uncommon for these prebuilt homes to cost $75,000 or more depending on the level of luxury included.

A cheaper option is to buy a preowned tiny house, as it’s not uncommon for these homes to cost as little as $30,000. However, buying preowned means sacrificing the level of control you have on how your space is set up. Tiny homes are often highly customized, so there may be additional expenses to adapt the space to your needs.

You can find tiny homes for sale in your area by searching local listings and national sites such as TinyHouseListings.com. Keep in mind most tiny homes will not qualify for a traditional mortgage, so owners often pay cash or take out a personal loan for additional funding.