Ultimate Guide to Buying or Building Your Tiny House Today

Tiny housing living isn’t for everyone; however, many people find the benefits worth the small size. In celebration of TinyFest California this March 16, a survey ranked the best states for tiny house living based on 23 key factors.

How Big is a Tiny House?

While there isn’t a standard size for tiny houses, they typically range between 100 and 400 square feet, rarely exceeding 500 square feet. In contrast, the median size of a new, single-family home was about 2,273 square feet in 2021 according to the U.S. Census Bureau.

How Much Do Tiny Houses Cost?

The average price of a tiny home ranges from $40,000 to $60,000, compared to over $100,000 for a standard-sized house. Nevertheless, various factors influence the final price of a tiny house, including location, size, customization, furnishings, zoning laws, and insurance. Whether purchasing a pre-existing tiny house or building from scratch also impacts the overall cost.

Why Live in a Tiny House?

Tiny houses are known for being cozy, energy-efficient, and increasingly popular. Interest in tiny house living continues to rise as more people become aware of its benefits. However, the cost and experience vary widely depending on location and other situational factors.

10 Best Places for Tiny House Living

Rank State Overall Score Legality Rank Urban Lifestyle Rank Remote Lifestyle Rank
1 Vermont 89.07 1 2 15
2 Kentucky 85.34 1 14 3
3 Arkansas 84.60 1 5 16
4 Maine 83.80 1 4 20
5 Minnesota 78.32 1 21 4
6 Montana 76.39 1 18 10
7 Alabama 74.45 1 6 28
8 Georgia 73.40 1 12 23
9 Texas 72.91 1 39 2
10 Kansas 70.35 1 37 7

10 Worst Places for Tiny House Living

Rank State Overall Score Legality Rank Urban Lifestyle Rank Remote Lifestyle Rank
41 Maryland 42.94 1 38 47
42 Nevada 36.74 1 50 45
43 West Virginia 43.31 4 9 21
44 Iowa 43.16 4 28 1
45 Wisconsin 40.60 4 17 14
46 North Dakota 37.16 4 32 8
47 Louisiana 35.49 4 15 25
48 Alaska 29.31 4 7 43
49 New York 14.31 4 35 41
50 New Jersey 5.27 4 43 50

Key Findings

  • Vermont, Arkansas, and Minnesota offer the most ideal conditions for tiny house living.
  • Eight states impose strict regulations on tiny homes or outright ban them.
  • Iowa leads the nation in encouraging an off-grid lifestyle.
  • Tiny homes can cost as little as $15,000, demonstrating their affordability.

Thinking About Downsizing?

If you believe tiny house living could be your ideal lifestyle, consider these essential questions:

  • Are tiny houses legal in my state?
  • What are the minimum and maximum size regulations for tiny houses in my state?
  • What is the average cost of a tiny house?
  • What are the financing options for a tiny house?
  • Is it possible to insure a tiny house?
  • Should you buy a tiny house or build one from scratch?
  • Can you genuinely live off-grid in a tiny home?
  • Where will you store your belongings?
  • Do tiny houses lead to financial independence or early retirement?


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