I found out that banks were not very open minded about financing tiny houses. I went to several banks and credit institutions but the loans they were willing to give me had a higher interest rate than if I used a credit card! So, I called my credit card peeps and asked about low interest rates or 0% rates. I ended up saving part of the money and putting the rest on credit cards. This was not ideal, but I had a deadline (I'll talk about that later). I knew that once I was in my new little cottage I could pay off the balances quickly.
Or so I thought! Just one month prior to moving in, my income was suddenly cut by 20% and my health insurance by another 50%. What was going to take 12 months to pay off, now became 24 months. At least I have a job. So many people are in such dire circumstances I consider myself very lucky. And just 10 months in my tiny house and I have paid off 60% of my debt! Living tiny definitely has its perks.
According to a recent study, 60% of people will never see their house paid off but mine should be paid off in another year! I think I will need to celebrate by doing something fun. Hmmm? Maybe you can give me some suggestions on this?
Whether you are in a financial crisis, an educational debt hole, scaling down for retirement or just want a new simpler life, tiny house living can be the answer. If you choose to "go tiny" for 2 years or 20 the benefits can be huge. You can payoff debt, finance travel or save for property, purchase a vacation home or large family home. Maybe you want to further your education or start a business. Your imagination is the limit. For me, I doubt that I will ever return to a more traditional sized home.