How To Find Financing For Your Brand New Tiny House

With Tiny House Listings as your source for tiny home real estate listings (buy or rent), purchase assistance, and overall financing, prospective owners now have a viable option to purchase their dream tiny home.

Steven Harrell
Steven Harrell

There comes a time in every adult’s life where they want to buy a home to call their own. In the last 8-10 years that desire has taken a new shape; a more liberating one. Since the real estate bubble burst around 2007 more potential homeowners have turned to the tiny house and unconventional home market where they can focus on a number of factors that are often debilitating in the conventional real estate market. They are in search of lower purchase prices, mobility, less dependency, and less house maintenance. It is widely accepted that tiny houses are 400 square feet or less, on wheels or sometimes set on a foundation. And while a tiny house is priced less than a traditional home, getting financing can be challenging. But with Tiny House Listings as your source for tiny home real estate listings (buy or rent), purchase assistance, and overall financing, prospective owners now have a viable option to purchase their dream home, no matter how unorthodox.

A tiny house listed on Tiny House Listings will typically cost between $30,000 and $100,000 but can be priced higher or lower depending on size, features and amenities. There is no argument that they are a cheaper alternative to more traditional houses in the United States and considering they can be placed within a number of non-traditional spaces such as RV parks, off-grid landscapes, and even urban backyards, they are poised to be far less stress on the buyer. It is important however to understand how affordability works in the tiny house market as compared to primary market factors found in the more traditional home sector.

There are three main factors that go into determining how affordable homes are for buyers, no matter what the size:

  1. Mortgage Rates
  2. Mortgage Payments as a Percentage of Income
  3. Home Prices

The National Association of Realtors (NAR), produces a Housing Affordability Index, which takes these three factors into account and determines an overall affordability score for traditional housing. For instance, if you wanted to purchase a traditional home you would consider the cost of the home, your monthly salary, your minimum overhead expenses, and the month’s average interest rate. The tiny house market operates a little differently though.

Tiny House Listings does not discriminate against private owners, DIY builders, or professional builders. The listings are posted by the seller leaving buyers free to make their choice. The price of a tiny house as previously mentioned is set not by a sliding rule or a union scale but rather by the amount of time and resource put into the building of the house as well as the aesthetic and functionality of the home, and the size. Financing is based exclusively on the cost of the home -vs- your income and is offered through several of Tiny House Listings’ finance partners.

Even Financial and their search engine for financial services, Fiona, are an online platform that connects trustworthy lending companies that offer personal loans to borrowers. It is a straight forward platform that helps tiny house buyers find a financing option that works for them. Loans can be up to $100,000 with an interest rate as low as 4.99% and a payment term up to 84 months. Get your instant offer right now!

Hearth is another excellent option for apply for financing as a credit score as low as 550 can be accepted. Money is deposited directly into your account so you can begin shopping for tiny houses.

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Whether you’re searching for your first tiny house or are just ready to upgrade, search the Tiny House Listings today and fill out an application to find out what financing options are immediately available to you.

Not sure which direction to take? Schedule a 5-minute tiny house consultation with a Tiny House Listings team member.

Debt-Free Livingfinancing,mortgagedollars and sense

Steven Harrell

Steven is the CEO of Tiny House Listings and has been involved with The Tiny House movement for over a decade.