The tiny house movement has gained popularity because of its minimalist and affordable nature compared to traditional homes, but does the price match its size? The national average cost of a tiny home is between $28,405 and $85,985.
However, you may pay as little as $9,500 for a prefabricated tiny house and as much as $258,000 for a 600-square-foot tiny home with top-of-the-line amenities.
This pricing guide gathers data from several locations in the U.S., including both big and small cities, so you can get a clearer picture of what you might expect to pay for your tiny house project in your area.
Cost by Location
The cost of your tiny home could look much different in New York than in Texas. The local cost of living, materials, land, and labor will all affect how much you pay. Rural areas tend to have less strict rules and regulations, potentially saving you money.
The popularity of tiny houses in your area will also sway prices. Check for tiny house communities or locally based companies.
The table below shows a snapshot of the costs to build a tiny house across the country:
City | Average Cost (Including Labor and Materials) |
Northeast U.S. | |
Pawtucket, RI | $29,598 – $88,931 |
New York, NY | $39,542 – $116,851 |
Southeast U.S. | |
Dothan, AL | $22,825 – $70,554 |
Orlando, FL | $24,191 – $74,786 |
Atlanta, GA | $25,362 – $75,221 |
Midwest U.S. | |
South Bend, IN | $28,992 – $88,301 |
Chicago, IL | $32,303 – $94,895 |
Northwest U.S. | |
Salem, OR | $26,888 – $81,158 |
Seattle, WA | $31,257 – $95,496 |
Southwest U.S. | |
Houston, TX | $25,115 – $75,817 |
Roswell, NM | $28,403 – $85,983 |
San Diego, CA | $25,115 – $75,817 |
Cost Estimator by Size
Just how tiny are we talking about? For something to be considered a tiny home, it must be significantly smaller than a traditional house.
The average size of a tiny house is 300 square feet. However, some have made do with 100 square feet or less, though you’ll need a minimalist floor plan. Once you’re over 600 square feet, you’re inching away from the tiny home classification.
The average cost per square foot is $290, with a typical range of $150 to $430.
Why the high price? Tiny home construction is very much a niche area. While building costs are higher than those of a traditional house, your total construction costs will still be lower because of the small size.
Here are the costs for various tiny house sizes:
Tiny House Size in Square Feet | Average Total Cost | Typical Total Cost Range |
100 | $29,000 | $15,000-$43,000 |
200 | $58,000 | $30,000-$86,000 |
300 | $87,000 | $45,000-$129,000 |
400 | $116,000 | $60,000-$172,000 |
500 | $145,000 | $75,000-$215,000 |
600 | $174,000 | $90,000-$258,000 |
Mobile vs Stationary Tiny Homes
There are two ways to build a tiny home: with wheels or with a permanent foundation:
Type of Tiny Home | Average Cost |
Stationary (on a foundation) | $40,335 – $105,000 |
Mobile (on wheels) | $50,000 – $76,665 |
Stationary Tiny House
Stationary tiny homes cost an average of $40,335 to $105,000, with the foundation costing $4,250 to $8,500. Permanent tiny houses provide stability, though you must purchase land to build on. If you want to build on land you already own, research local zoning laws carefully to avoid breaking any rules.
Land costs vary from city to city, with an average cost of $11,700. Need a land survey? Expect it to cost around $625. Remember that you’ll need to pay property taxes (real estate taxes) on your land and the tiny home.
Mobile Tiny House
Want more freedom? A tiny mobile home can be hitched to a trailer or drive itself. Mobile tiny houses cost an average price of $50,000 to $76,665. The trailer alone will cost around $4,825 to $9,000.
You will pay personal property taxes, the same taxes people pay for mobile homes, boats, and other vehicles. However, you will need to find spots to park your home, which may be frustrating.
Prebuilt vs Custom-Made
You may be interested in a tiny home, but how much control do you want over its design? While most traditional homeowners purchase preowned houses, many tiny homeowners choose prefabricated or custom homes. Let’s review the costs of each option:
Type of Tiny Home | Average Cost |
Prefabricated | $9,500 – $151,665 |
Custom built | $50,000 – $175,000 |
- Prefabricated: While prefabricated/prebuilt homes aren’t entirely customizable, you can browse various brands and choose a design that meets your needs and tastes. It can also lift the stress of the numerous design choices you need to make. Check whether the company offers delivery, pickup, or onsite assembly.
- Custom built: You may have a specific image for your tiny home that none on the market offer. In that case, talk to a contractor about a custom-built tiny house. While they can be pricey, you will have control over every aspect of their design.
Note: Some companies offer the option to purchase just the tiny home shell, meaning the exterior structure without interior insulation, wiring, plumbing, finishes, fixtures, or amenities. This can be a great choice if you want to save money upfront or add your own finishing touches.
Labor
You’ll most likely need professional building help for most of the project. Paying the contractors will account for between 15% and 45% of your total project costs. While you can save by DIYing parts of the project yourself, you will likely still need to budget for some labor costs to cover anything you’re too uncomfortable or worn out to do yourself.
Pro Cost vs. DIY Cost
Building your own tiny house is much more attainable and affordable than building a traditional house in many ways. However, it’s still a huge undertaking. Because of the difficulty of this project, we don’t recommend it for first-time DIYers.
Home building can be dangerous for those not experienced in construction, and a poorly made house will not serve you well in the long term. It will also take you much longer than a professional team to complete. While pros can build a tiny house in 120 hours, a DIYer could take as much as 480 hours.
If you decide to go the DIY route, we recommend buying a prefabricated kit, which costs $9,500 to $151,665, or a tiny home shell.
Other Factors That Affect Cost

Every decision you make when building matters when you’re working in such a small space. You’ll need to consider a lot of other factors. Deciding on as many of these factors as possible is crucial before starting construction and getting the cash and loans you need.
Preowned Tiny Homes
Some tiny home residents outgrow their homes and decide to sell. You can get preowned tiny houses for less than most new ones because they tend to depreciate after they’re built.
While you could get a good deal on a used tiny home, they’re much less plentiful than regular homes. You may struggle to find one that meets your needs, and it will be challenging to customize compared to a newly built home.
Utilities
Even if you are trying to simplify your life, you probably still want some of the creature comforts you’re used to. If you’re building your tiny home from scratch, you’ll need to hire a contractor for the following:
- Installing electrical wiring, which typically costs around $750 to $3,250
- Connecting to the power grid
- If you want to embrace the eco-friendly nature of tiny homes, to install solar panels, which cost $4,250 to $11,900
- Installing plumbing fixtures and connecting your home to the sewer system
Once all your utilities are installed, you’ll still need to pay for their usage. This bill will be much lower than the utilities in most apartments because of its tiny size. To cut utility bills further, you can aim for a completely self-sufficient setup by going off-grid.
Amenities
What do you want in your house? Do you want the bare minimum of a bed, bathroom, and cooking apparatus, or a luxury bathtub, chandelier, marble counters, and all the kitchen gadgets you want? Though tiny houses are generally minimalist, you still have flexibility in amenities and decor.
Appliances
Appliances should be one of your top considerations when designing your tiny home. Most are outfitted with a stove, oven, fridge, toilet, shower or bathtub, and sink. Appliances usually cost $700 to $3,500.
You likely won’t be able to bring all your old appliances from a bigger house, but you can discuss it with a professional builder to see what they recommend.
Some make do with smaller or more basic amenities to save money. For example, you could use a cooler instead of a fridge or a camping stove instead of a traditional cooktop. Beware of collecting too many tabletop appliances—your counter space is precious in such a small home.
Furniture
Like your old appliances, you may find that your favorite furniture doesn’t suit your new living space. Smaller furniture will not only save space but will make your tiny home feel bigger. Assess your belongings to see what can make the move with you and what needs replacing.
Other Amenities
Ask yourself: Is there anything else you want to make your home feel complete? For example, you could add a home gym or garden to your tiny home. While it will be challenging to fit in extra non-essential amenities indoors, you could have plenty of space for outdoor amenities if you purchase land.
Home Insurance
Tiny homes are no less vulnerable to accidents and forces of nature than traditional homes, but it’s still important to make sure your investment is protected. However, finding companies willing to insure tiny homes can be challenging.
Permits
Before you begin your project, you’ll need permits. Construction companies can help acquire these permits, but you’ll need to figure it out on your own if you’re building your own tiny home. Tiny home building permits will usually cost around $1,425.
Maintenance and Repair
Once your home is built, ensure it stays in good condition. The good news is this is much easier for a tiny home since there’s less of it to be damaged, so you’ll likely only spend a couple hundred bucks a year for a stationary tiny home.
Mobile tiny homes are more susceptible to damage since they move through different climates and are more at risk of accidents on the road.
FAQ
Downsizing to a tiny home is a big decision. If you need help deciding, here are the benefits and downsides of tiny houses:
Pros:
✓ Encourages minimalism and downsizing
✓ Cheaper than traditional housing
✓ Allows flexibility in location, especially if your tiny home is mobile
✓ More eco-friendly than traditional housing
Cons:
✗ Less space for activities and storage
✗ Restricted by zoning rules
✗ Little resale value
✗ Challenging to insure and fund with loans
Tiny homes aren’t outright illegal in any state, but you’ll need to check your county or city’s zoning laws. They may limit where you can build or if you can build at all. The laws in your area may end up being so strict that it’s not worth pursuing.
While it’s relatively easy to get loans and mortgages for traditional homes, tiny homes are a different story. You’ll likely need cash, a personal loan, or a land loan.
Many lenders hesitate to provide land loans because of the more significant risk and difficulty of determining land value. Therefore, you will need a good credit score and may need to pay a higher down payment and interest rate.
Build Your New Tiny Home
Tiny homes can offer a more affordable and flexible way to live, but costs can vary widey based on size, type, and amenities.
Ready to make your tiny home dreams a reality? Home Gnome delivers the best home service experience at the click of a button. Book reliable general contractors and leave the rest to us.
Maria Isabela Reis contributed to this article.
Read More:
Main Photo Credit: Bill Smith / Flickr / CC BY 2.0