There are 3 main motivations for going tiny that we have identified:

- Affordability
- Income
- Lifestyle

We have somewhat addressed Lifestyle by looking at age and Household Demographics, and we will return to this later, but now we want to look at Affordability and Income.

For this comparison, we have used several base assumptions to provide common reference points. We have calculated the cost of the tiny home using typical home ownership for comparison. The home and rental costs are based on national averages, as are incomes.:

- Tiny home costs:
- $69,000 tiny home cost
- 10% down payment
- 6% financing
- 25-year amortization
- $295/month site rental & utilities

- Traditional home costs:
- $347,000 traditional home cost
- 10% down payment
- 3.24% financing
- 25-year amortization
- $3,473 annual property taxes
- $300/month utilities/insurance

- Apartment rent costs:
- $961/month including utilities

There are 2 calculations for each age group, singles are on the bottom, then couples are above. The bars shown in each section are cumulative, but the percentages are not. As an example, looking at singles age 17-34, renting uses up the blue and orange amount of a person’s income or 43%.

The incomes shown are national averages in each age group, and to calculate a couples’ income, we have assumed they are both in the same age group, both earning the same income. While we realize that this is rarely the individual case, looking at a national average, some earn more, and some earn less and on average, this is a fairly accurate depiction.

Based on a 30% housing cost to income ratio we can determine the following:

- Couples aged 35-54 can afford to purchase an averaged priced house
- Singles cannot afford to purchase an averaged priced house
- Couples aged 18-79 can afford to rent an average priced apartment
- Singles aged 35-54 can afford to rent an average priced apartment
- Couples aged 18-79 can afford to purchase a tiny home
- Singles aged 18-79 can afford to purchase a tiny home

These calculations do not reduce the potential tiny home buyers from yesterday’s calculations, but they do add a weighted likelihood of all age/income groups to be interested in tiny homes as a housing choice because in all cases, tiny homes:

- Require the least percentage of income to acquire and operate,
- Provide accommodation,
- Are an asset which will have some resale value.

$60,000 for what size Home and does this include?

The price for the tiny home is an example, but the company that is building our model home for the 2019 Festival tour says this is in the price range for a 325sq. ft. 1 bedroom tiny home. If you look at the plan that is posted here: [url=https://tinytownassociation.com/logan32.html]Logan32[/url], you will see it includes everything.

I assume that,

Transportation

Property or Rental Pad

Sales Taxes are not included?