Tiny houses and apartment have their own specific pros and cons. So how do you choose between the two especially if you are retiring or starting life?
In this case, you have to weigh your options to avoid making a decision that you might regret later. Tiny house lovers claim that the cost of living in the main determining factor of where to live whether the apartment or the tiny houses. If you are mindful of the costs just like these people, then you might already have thought about tiny houses and their benefits.
The Tiny Home Society claims that more than 60% of tiny homeowners don’t carry credit cards. But I like saying that tiny houses are not the most cost-effective especially when it comes to families with more than two people. When compared to the apartment, there are many considerations you should take before you decide. For people living in the cities, there are some cons of owning tiny houses. Some jurisdictions claim to limit the size of the houses that can be built in different neighbourhoods.
Tiny house vs. Efficiency Apartment: Serious considerations
For people that are weighing between tiny houses and apartments, some serious considerations can help you make the decision.
The Long term cost
The long time costs depend greatly on your lifestyle plans. As a matter of fact, tiny houses are a large investment upfront but they usually depreciate with time. Regardless, your lifestyle can be the biggest determining factor here. The rent for both tiny houses and apartments can vary greatly depending on your location. What this means is that an apartment in New York City will not cost the same as an apartment in Kansas. But it’s easy to realize that you will have to pay more on rent for an apartment as compared to tiny houses.
If you are just determined to live small for a short period of time, then it would be good to consider tiny houses.
Recap: Choose tiny houses only if you want to stay for a while, otherwise an apartment will be the best.
The Utility costs
A tiny space means lower utility costs. I’m trying to say that the utility costs for a tiny house will be relatively lower. This is actually what makes a tiny apartment very attractive. Efficiency apartment also has smaller footprints but you will be forced to pay more. Luckily, there are some instances where the utility costs are covered by the rent.
If you are mainly determined to lower your utility bills, then you might have to consider tiny houses. If otherwise, an apartment will have more benefits than Tiny Houses. In a tiny living situation, you will have a limited space to heat, cool and light which automatically lowers the utility bills. However, the appliances that you are likely to use are similarly the same and the cost of maintaining them can be the same. But tiny houses often need specific low-energy appliances that can be very applicable. If otherwise, the efficiency apartment is the best alternative.
When looking for a living area, every inch matters especially if you have a large or a growing family. In a tiny house, you might have to sacrifice a lot of space for other benefits. Space makes you very mindful of what you buy and what you get rid of. In a tiny house, the space is limited and there are chances that you will have to give out some of your possessions.
An apartment has enough space for storage and can cover every storage need. So, if storage access is a major consideration for you, then you might have to consider the options that provide enough storage space. In many instances, you might need enough space to store your GYM equipment and all your books.
Recap: Efficiency apartment provides enough storage space for all your items. However, you will have to pay more for space especially if you are renting. You can actually sacrifice the space by getting a tiny house and at the same time pay less for the tiny house. In this instance, it’s a tie between an apartment and Tiny Homes.
Efficiency apartments and tiny houses have different benefits when it comes to ownership. As a matter of fact, you own a tiny house which automatically means that you can decorate and customize it the way you want. You can actually change some of the storage space, paint it, hang shelves and do whatever you want.
On the other hand, an apartment is managed by a real estate agent meaning you have to get permission before you do anything. Some landlords will not like the idea of customizing the space and they might consider it as a violation of the rental agreement.
Furthermore, buying real estate is considered an investment. However, buying a tiny house is not like buying real estate. In most instances, the Tiny homes are certified and classified as Recreational Vehicles which means that they are categorized as vehicles. Another thing, Tiny Houses depreciates as soon as they are bought.
With all this information, you can easily realize that unless you own the space where you want to park the tiny house, several cons will probably accrue. You might have to pay to park the vehicle which adds to the overall costs. It might also not be hooked to the water and electricity which is another major drawback.
As I’ve stated, a tiny house is not considered an investment especially if it’s not set on a permanent foundation. This way, the homeowners don’t get the tax deductions benefits as it’s the case with real estate owners.
Lastly, unless you have a place to rent your tiny house, you will be forced to purchase the tiny house which automatically means that the funds for financing the tiny house can be very high. In terms of ownership, Tiny houses win.
We all love the flexibility of moving around rather than being stuck in a single place. This is regardless of whether you are living in an apartment or a tiny house. The freedom of moving from one place to the other is all we need. However, this freedom will automatically come with a cost. Moving around is a rarely inexpensive experience.
The people living in apartments will have to submit a security deposit and at the same time be able to compensate the cost of moving from one apartment to the other which is not the case with tiny houses. In the case of a tiny house, you can move from one place to the other easily with your belongings. This automatically cuts the moving expenses.
Living in an apartment, you will have to get a large truck to ferry all your items. With the tiny house that is towed by a small vehicle, you will eliminate the need to pay for the costs of moving. Once you own a tiny house and the towing vehicle, all those will be yours and you will not have to struggle with the headaches of relocating.
Recap: Tiny houses offer the freedom of movement where you can move from one house to the other without incurring extra costs.
Pros and cons of living in a tiny house
There are many pros and cons of living in a tiny house and an apartment. This is all you need to make the decision. As a matter of fact, they both come with different benefits and disadvantages. Here’s a list of the pros and cons of living in a tiny house.
- Its environmentally friendly
- It promotes Minimalism
- Less money needed
- The utility bills are lower
- Easy and cost-effective to buy furniture and decorate
- Less money is needed for upkeep and repairs
- Less time cleaning and organizing the house
- You stay cleaner and well organized
- Easy to get out to the world
- Smaller price tag
- The space is limited
- Less storage space
- Fewer chances of being financed
Pros and cons of living in an apartment
Many people are living in apartments and the ones that don’t really have to think about tiny houses. If you fall in this category, then you might be looking for the pros and cons of living in an apartment. Here is a list of all the benefits and disadvantages of living in these spaces.
- The apartments are easy to maintain
- Lock-Up and go
- Enough space
- Privacy and no noise
- No pet policies
- Rules and regulations are limited
- Close to all amenities
- You have to contact your landlord before you renovate or do anything
- The cost of maintenance is high
- The monthly fees are equally high
Tiny Houses vs. Apartment: Maintenance costs
The cost of maintaining the apartment and the cost of maintaining the tiny house is very different. With the tiny house, you will probably require less money for upkeep and repairs. The furniture that will be needed in the case of a tiny house is limited and the money you will need for the décor is also minimal.
Reasons why you should live in a tiny house
Saves you money
Life in a tiny house means that you have smaller bills which will allow you to save money that you could have spent in a large house. They are easier to heat and require less power. Purchasing a tiny home does not cost you much as you pay a considerable amount of money. Moreover, you can save on renovations as they are minimal and limited to the small house.
You have more free time
When living in a small house you spend less time cleaning and thus you can later focus on the other things that you like. A small house means you have less stuff hence in case of fixing anything in the house you do not have to take a lot of time.
Tiny houses have less space that in turn leads you to purchase less material things that you do not need. You have to be keen on whatever you want to purchase and therefore you focus on the important materials. Moreover, having fewer material possession means you can free some space as well as reducing cost.
They are movable
Mobility means that you can move the tiny house depending on the location you prefer and time. It can be great for road trips as moving a tiny house is faster. Tiny houses built on a trailer allow you to move them anytime you, please.
Efficient when travelling
Most people that prefer tiny house are always travelling. It is a lifestyle they choose that makes it easier when moving. Living in a tiny house allows for more travel and it reduces the worry associated with travels. Depending on where you are headed you can travel with your tiny house and make it your office during the travel.
More eco friendly
When living in a tiny house you consume less energy as compared to big houses. Most people that live in tiny houses, compost their waste as they do not waste a lot of water at all. They are in a position to do more gardening than the average person. Moreover, tiny houses are fitted with water collection points for rainwater thus reducing the usage of tap water.
Access to a bigger yard
Since they occupy less space, there is always plenty of lands available hence you can practice gardening, farming and even create your own backyard for your comfort. You can as well have multiple tiny houses fitted in one lot thus creating a convenience of tiny houses community.
They are unique
Tiny house dwellers are very unique folks that beat the sound of their own drums since they thrive on the condition that they are always doing something different from normal things. You can customize your tiny house according to your preference and with your own preferred artwork. This depicts your tiny house different from the other surrounding with uniquely fitted options.
Reasons why you would love apartment living
This a daunting task to unravel and decide where you want to lay your head every night as you rest. Where to spend the day can be challenging depending on your requirements. This requires clear thinking and detailed evaluation. These are some of the reasons you would prefer apartment living.
Comparison of a house and an apartment, safety should be a priority. When living in a multi-unit you have an added advantage as the security is high and guaranteed. Most apartments or complexes come with gated communities, security cameras, controlled access or entry as well as extra fire protection. Moreover, your proximity to neighbors is an added advantage and of huge benefit. In case of anything or something out of the ordinary, they can assist or call the authorities. These safety features would make apartment living perfect especially for families with children, the elderly and if you want some peace of mind.
Apartments come with great amenities that are unique and cannot be accessed elsewhere. They include recreation facilities just at your doorstep with extraordinary offers that cannot be available in single homes. You will come across fitness centers, clubhouses to host parties, playgrounds, automated smart homes and swimming pools. You may build such features in your home but the cost can be out of reach compared to apartments. Salons, movie theatres, hiking trails, pet spas and underground heated parking can be accessed making apartments an upgraded living.
Ease in maintenance
Moving to an apartment reduces the worry of maintaining the property and thus you eliminate it from your to-do list. Shoveling snow, replacement of broken dishwashers or fixing leaking roofs are non-existent as the apartment have some assigned staff charged with such responsibilities. All you have to do is make the call and the property management team resolves your issue instantly.
Saves you money
Apartment life helps one shape the spending lifestyle. When you consider the expenses of moving to a house you will be burdened with property tax, insurance HOA fees as well a sizable down payment. These are non-existent in an apartment. When you factor in the high utility bills then the best option to cut cost is definitely an apartment.
Best for short term options
Apartments present an opportunity for those people that do not prefer staying at the same place for a very long time. This gives you the freedom to move too easily whenever you feel like it. Apartments offer short term leases that ruin from 3months, 6months and 12months.
Comparing to mortgaging, you have to spend money and time to market your home whenever you want to move. However, apartment living gets rid of such stress.
The apartment complex brings to the proximity of anything you need. Shopping center locations are depending on the overall demographics of a community. Living in an apartment you will be in a position to access anything you need easily and comfortably. They are perfect for anybody that wants to call a place home.
Apartments are simple and convenient. For newly graduated students looking for a place to call home, only require a living room, bedroom, bathroom and a kitchen. Space does not have to be large and extravagant. This will only be for safety and comfort. Apartments are most suitable for most people, college kids, bachelor’s single ladies and friends that may want to live as roommates.
Close proximity to neighbors ensures you have an opportunity to spend time together creating friends and a sense of belonging. You can have apartment barbecues and parties as you share ideas and get to know each other. Moreover, in apartments, you can always bump to each other in various amenities hence creating more friends.
Building you savings
This is another opportunity that one can take and start saving for the future . The cost associated with running a house makes it hard to save for a rainy day. Having to cut cost by living in an apartment you can save more. This will present a whole world of greater opportunities as you can be in a position to make the right decisions for your kids, travelling a well as retirement saving.
The financial aspect of renting comes into play when you are living in an apartment. It is cheaper than a mortgage. It is characterized by lower monthly payments, upkeep and less spending. The overall responsibility of such work falls squarely on the landlord. All you have to take care of is your monthly payments.
Is a tiny house better than an apartment?
The choice in this case depends on the interested person. Tiny houses and apartment have their unique pros and cons. Different individuals also have varying needs and preferences. In that regard, you will have to weigh your specific needs and preferences before you make a decision.
Is a tiny house cheaper than an apartment?
When it comes to the cost of living between the apartment and the tiny house, many factors play a vital role. A tiny house might have little utility costs and maintenance costs. However, the value of a tiny house depreciates with time.
Do tiny houses keep their value?
Unfortunately, tiny houses lose their value with time. They start depreciating as soon as they are bought. The tiny house might only hold the value only if it’s established in the land and if it has its unique value.
The Choice is yours
It doesn’t matter whether you are attracted to the smaller spaces or whether you want to live with the rest of the family in an apartment, you will be required to consider all the factors that can affect the decision. We all have our own different preferences and needs. You might be interested in a large living space especially if you own the land and have more than 2 people living with you. It’s important to consider the pros and cons of living in different spaces.