Other than keeping you and your loved ones nice and cozy, a small home has several benefits. In addition to the generally lower asking price, here are 5 reasons smaller may be better:
- Lower property taxes: Since the value of a small home is usually assessed lower than a larger home, your property taxes could be significantly lower than your neighbors.
- Lower property insurance: Although it varies by location, generally the smaller the house, the lower the insurance cost. How the house is constructed also affects the insurance cost. A wood house in a wildfire-prone area, for example, will likely cost more to insure than a brick house.
- Heating and cooling savings: Even if the house is poorly insulated, you may still be saving money. One study found that a poorly insulated, 1500 sq. ft. house is at least $200 cheaper per year to heat and cool than a well-insulated house twice that size.
- Save on major replacements: Let’s just say that when it comes time to replace the roof, both you and your wallet will be thankful that there’s a lot less roof to pay for.
- Easier maintenance: Spending less time cutting smaller lawns, cleaning gutters, and washing windows means more time to do what you actually want to do. When spring cleaning time rolls around, you’ll be loving your little house while your neighbor is still scrubbing away.