Tiny homes and tiny offices are a new trend in the housing and real estate market that are becoming even more popular during the COVID-19 pandemic. People looking for new vacation ideas, investment property owners to remote workers have all seen an increased interest in the tiny home/tine office movement over the past year. For many people the idea of having a simpler living space or office is appealing to them.
In order to learn more about the growing trend of tiny homes and tiny offices, IPX 1031 recently surveyed over 2,000 Americans to learn about their interest in living or using a tiny home or tiny office. They also asked about what type of features they would like in a tiny home or office and how much they would pay to build one. Let’s take a look at what they found.
Tiny Homes
The idea of living in a tiny home might seem crazy for some people, however more and more Americans are embracing the idea of living or renting out a tiny home. IPX 1031 found that 56% of the people they surveyed said they would be open to living in a tiny home. 24% rejected the idea of living in a tiny home and 20% said they were not sure, but they would at least consider the idea. First time home buyers were even more interested in tiny homes. Over 86% of first time home buyers said they would consider living in tiny home for their first home. One of the main reasons for this is because of the price.
IPX 1031 asked the 2,000 Americans they surveyed about the most appealing factors of living in a tiny home.
Listed below are the top responses:
1. Affordability (65%)
2. Efficiency (57%)
3. Eco-friendliness (48%)
4. Minimal lifestyle (44%)
5. Downsizing (36%)
6. Mobility (35%)
7. Privacy (29%)
What does the idea tiny home look like for Americans?
In the next part of the survey from IPX 1031, they asked American respondents about their preferences for a tiny home. A majority of tiny homes are under 400 square feet so there isn’t a lot of room to work. The added bonus of homes that size is the ability of the home to be mobile, allowing owners to re-locate or travel with the home.
54% of the surveyed respondents said that they preferred their tiny home to be mobile so that they could travel. As far as the idea location 57% of respondents said that they would prefer their tiny home to be in a rural or remote location. 23% of respondents said they would prefer a suburban community for their tiny home location. Only 20% of respondents said they would prefer an actual tiny home community where they could live with other people that had tiny homes.
Many tiny home owners said that the ideal number of people living in a tiny home at one time is two people. Interestingly enough, 84% of surveyed respondents said that they would consider living in a tiny home when they retire. When it comes to ideal square footage, 26% said they would prefer 500 or more feet for their tiny home, 21% said 200-299 feet and another 20% said between 400-499 feet for their tiny home.
Most desired tiny home amenities
The next part of the survey on tiny homes from IPX 1031 asked American respondents about what they would like most in their tiny home.
Listed below are the most popular responses:
1. Heating/AC (60%)
2. Kitching space (58%)
3. Designated bedroom (48%)
4. Room for laundry (43%)
5. Outdoor space for recreation (42%)
6. Location (40%)
7. Storage (38%)
8. Space for pets (29%)
Budget for a tiny home
One of the most appealing aspects of tiny home living is the price. The average median price for a starter home in the United States is around $250,000. The average tiny home by comparison is only between $30,000 and $60,000. The space you save in housing and living space is usually replaced with more expensive amenities for many people who choose to live in a tiny home.
IPX 1031 found that 53% of the people that they surveyed said that they could currently afford the median price of a start home in the United States which is currently $233,400. They found that 79% of surveyed respondents said that they could currently afford the median price of a tiny home which typically ranges between $30,000 and $60,000. As you can see many more people can afford the tiny home option when compared to a regular home.
Where tiny homes are the most popular in the United States For the next part of the analysis from IPX 1031, they wanted to examine if tiny home were popular across the country or if there were pockets where they were more popular.
Listed below are the top ten most popular states for tiny homes:
1. Vermont
2. New Hampshire
3. Maine
4. Wyoming
5. Washington
6. Idaho
7. Montana
8. Oregon
9. Rhode Island
10. Alaska
Tiny homes as an investment property
The survey from IPX 1031 found that 72% of people surveyed said they would consider buying a tiny home to use as an investment property. From there they asked whether people who use the tiny home as a long-term rental or a short-term rental. 63% of respondents said that would rent out their tiny home as a long term rental in intervals of three to six to twelve months or more. 37% of the people they surveyed said they would choose to use their tiny home as a short-term rental.
Tiny offices
54% of Americans say they would buy a tiny office, or “backyard office,” and 62% of remote workers would consider buying one for their home. 68% would consider renting out their tiny backyard office space to other remote workers. Most desired tiny office amenities: 1. Windows/natural light 2. Heating/AC 3. Bathroom 4. Quiet setting 5. Solar power 6. Ergonomic Set-up. More than a quarter of respondents say they would spend less than $8,000 on a tiny backyard office.
The full report on tiny homes and tiny offices from IPX 1031 can be seen in the graphic below.
Infographic by: www.ipx1031.com
