I saved $1,000 by moving into a tiny house



You may have seen more people downsizing and moving into smaller homes. The concept of the tiny house and living in a smaller space has taken off in the past few years. With real estate costs skyrocketing and mortgage rates rising, the idea of ​​moving into a tiny house doesn’t seem so far-fetched anymore.

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We spoke with Bryce Sherratt, who moved into a small house with his wife and four children. We’ll look at how much you could save by moving to a tiny house and everything else you might want to know about the idea.

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How did they end up in a tiny house?

“We wanted to leave the city and move to a smaller area with more open space,” Shirat said as he left his traditional home for a smaller space. “The place we were originally planning to move to didn’t work out, and we had no idea where we were going to go instead.” The Sherratts ended up struggling to find the land they wanted, so they bought an RV and called it their tiny house. They knew they wanted out of the real estate market, and this was the best option for them.

How did they choose an RV instead of a self-contained tiny house?

“The RV is the original tiny house,” Sherratt said when asked about his choice to live in an RV. “I remember when I was a kid in the 1980s, my grandparents lived in an RV on their mountain property during the summer, and when my grandfather’s health declined, they were snowbirds — taking the RV to warmer climates in the winter and back to their mountain house in the summer.”

Living in a tiny house is a personal choice, and each unit will be different. You can build your own small space, buy one that’s already set up, or find another creative option.

Some people have moved into ADUs (accessory dwelling units) or “granny flats,” as they are called in some places. Built on someone’s property, these small, detached homes are a viable option for those looking to downsize. The best part about tiny home living is that it can be anything you want based on your personal preferences.

What are the best aspects of living in a tiny house?

“What I like about it is that it forces you to simplify your life and be clear about your needs versus your wants,” Sherratt commented on the best part of moving to a small space. “There’s no extra space to fill with useless junk, and we buy fewer toys and clothes for the kids because there’s no room for them. I’ve found that, for the most part, we don’t really miss him.

The Shirat family found that they didn’t need as many things as they thought. You can save a lot of money by reducing your consumption and spending by moving to a small house as you no longer have space for all these things. You realize that you’ve been spending money on things that don’t bring you much value.

“The long-term goal was always to get some land and build a house. What living in an RV has taught us is that a house doesn’t need to be as big as we thought it was. Living in a tiny house helps you appreciate how bad the lifestyle has become.

The harsh reality for many is that they overspend on things they don’t really need or care about. Sometimes it takes extreme action, like moving into a tiny house, to realize that you don’t need to spend all that money on random things.

Are there any setbacks to tiny home life?

“Everything I don’t like is centered around living in a small space with kids,” Sherratt noted of the reality of living in a small space with four children. “Even though we’re getting along much better than I expected, and most of the time, the kids can play outside or find small spaces in the RV to go into on their own, it’s impossible to stay ahead of the chaos.”

The most important thing to consider before moving to a smaller space is to know how everyone will fit into this new space. By all accounts, there seems to be an adjustment period when you move from a traditional home to a small space. This is something you need to be prepared for if you are going to make the leap in the near future. If the change is drastic, the adjustment period can be more frustrating as everyone gets used to living in a small house.

How much money can you save with tiny home living?

“We sold our house during the real estate boom in 2021, bought an RV, and decided to travel and see if we could find a place that felt like home.” The Sherat family received most of the financial benefits by cashing in their real estate investments in their primary home. They took this money to radically change their lifestyles. Many tiny home living advocates have done something similar. They liquidate their primary residence and then use this money for their new lifestyle.

“The short answer is we save about $1,000 a month because of parking,” Sherratt said. “If we were to park it at the RV park, we would be saving a lot less.” The majority of the monthly savings comes from eliminating the mortgage and all the other expenses that come with a home.

What is the possibility of saving money?

“In terms of saving money, it depends on how you do it,” Sherratt digs into the financial details. “When we first started, we were traveling cross-country and we weren’t saving money at the time. I traded one account for another. We would pay to stay at the RV park once or twice a week. We had to pay to use the laundromat, and gas expenses went up And food has decreased dramatically while rent and utilities have decreased. But now we have been parked in the same place for six months and are saving money. The family has been saving money since they decided to park their small mobile home in a large lot.

“As with everything, the amount you save depends on a lot of variables. You have to look at what your expenses were before and how much you’re willing to make a lifestyle change when moving into a tiny house.

The most important financial considerations for moving to a tiny house.

“If you have a monthly mortgage payment of $3,000 and you can sell your house to buy a nice trailer and a truck to tow it, and you don’t move too far or too far, you can save a lot of money. But if you’re renting a two-bedroom apartment and you trade it in for an $800 payment For an RV and an $800 truck payment, you will lose money.The amount of money you can save by moving to a tiny house depends on the lifestyle changes that come with it.

Would they do it again?

“Would I do it again,” Sherratt said. “definitely.” The family has no second thoughts about the decision to downsize. “I remember watching videos on YouTube of people living full-time in an RV in 2019-2020 and thinking there was no way we could do this.” Sherratt never saw himself living in a small space with his children, but somehow they made it a reality. If you’ve been thinking about downsizing, this may be a sign that it’s time to move. The good news is that you have multiple options, from building your own tiny cabin on a plot of land, purchasing a home on wheels, or finding another unique option.

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This article originally appeared on GOBankingRates.com: I saved $1,000 by moving into a tiny house

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