Tiny House living in Australia – Is it for you?

The phrase Tiny House can mean a lot of things to different people but at its heart it’s less about the different physical manifestations available and more about the philosophy behind the movement. It is about being content with having less and living more. A tiny home lets you declutter, have a lesser carbon footprint, save more and lead a higher quality of life. 

What is a tiny house?

An average home in Australia is considered to be around 240 sqm² so a tiny home can look really small to most people. The Australian Tiny House Association states that tiny houses are portable residences of up to 50m² and are appropriate for residential use. 

Tiny houses initially came from the US then caught attention after being used to resettle Hurricane Katrina victims in 2005. Also, the 2005 – 2008 global financial crisis made the demand for affordable housing options spike as people started looking for cheaper housing alternatives. 

Are tiny houses legal in Australia?

Most tiny houses being sold in Australia are constructed on trailers which means they are legally branded as caravans and not houses. 

Rules relating to size and weight restrictions and road worthiness apply but the national construction code does not. A person is allowed to park a tiny home that is classified as a caravan on a permanent residence and have a household member permanently live in it without any further approval requirements.

It is also legal to park a tiny home on vacant land for 60 days a year without having to seek council approval but not for more than 48 hours at any single time. If you’re looking to set up a Tiny House in Australia as a permanent residence then you need to either fly under the radar or go through your local council’s approval process. 

The council checks on such things as fire safety, drainage, flooding, etc to ensure that the tiny house is habitable, environmentally friendly, and safe. It is advisable to check council regulations in the area you intend to live in so you understand exactly what the local situation is.

There’s quite a way to go in Australia in terms of comprehensive and reasonable legislation around tiny homes and this is something the Australian Tiny House Association is actively working to address. You can find out more about this pioneering organisation here.

How much does a Tiny House cost in Australia?

Tiny house prices vary depending on factors such as the company you’re getting it from, the size of the tiny house, the extras you want to be added to it, and if you’re buying it new or used.

For instance, Sarah Rohdich (Co-founder – Häuslein Tiny House Co.) told Canstar that a tiny house would cost between $79,000 and $150,000. This depends on if you’re looking to have things like a composting toilet, a solar system, and any other add ons they have to offer.

Another company, Aussie Tiny Houses sells a basic shell of a tiny house from as low as $43,900. However, this cheap design could still end up costing closer to or more than $100,000 if you decide to pay for all upgrades. Some of the more expensive features on an Aussie Tiny Houses house include air conditioning at $2,650, a water tank at $1,600 – $2,700, external storage going at $3,500, and a solar package for $9,845.

Pros of tiny house living

• Mobility: Time for a tree change or a sea change? No problem! Just take your tiny house with you!
• Sustainability: Due to their smaller size, tiny houses use less resources in staying warm/cool/light etc making them a more environmentally friendly option than most houses. This can be compounded further by adding things like solar panels and water tanks. 
• Less expensive: Reduced resources mean that your utility bills are significantly less than if you were living in an ordinary house.
• Cleanup time: It takes a considerably shorter time to clean up a tiny house since it is much smaller than a regular house. (#winning!)
• Aesthetics: The design of most tiny homes is quite pleasing to the eye and can feature quality wood-finished surfaces, neutral and pleasant color palettes, big windows with natural light, and lots of fun quirky storage solutions.

Cons of tiny house living

• Size: The biggest (potential) drawback for tiny house living is the fact that they are small. This translates to less space for you and your belongings. 
• Where to put it: Unless your friend or family member allows you to use their backyard, you will be required to find some land to rent or buy. This can be tricky in the Australian market where land rental for tiny homes is still relatively rare. 
• Potential legalities: Since a tiny house on wheels is classified as a caravan in Australia they evade some of the requirements associated with purchasing a regular home but they do come with their own sets of rules. Check local council laws as they may have specific rules regarding them.
• Fewer Amenities: Given the small space, it’s important to think carefully about what appliances to include in your tiny house. Sometimes a trade off will be required in terms of another appliance vs having more free space.

Manufacturer guarantees for tiny houses in Australia

According to regulations a tiny house on wheels (THOW) is not considered a dwelling in Australia and therefore they don’t have to abide by the National Construction Code (NCC). 

This also means that they are not covered by the consumer protection regulations which require manufacturers to be registered and to give a warranty.

How do you insure a tiny house?

Most Australian tiny house are built on trailers and therefore classified as caravans not houses. Therefore you will need to get caravan insurance for your tiny house and the contents in it.

A tiny house in Australia can be covered by Compulsory third-party (CTP) insurance when attached to and being towed by a registered vehicle. 

However, it is worth noting that CTP insurance is only liability insurance meaning it will only cover for an injury or death caused by the car or tiny house. It does not cover the tiny house itself.

Conclusion

Tiny houses in Australia provide a solution to many modern issues since they are sustainable, affordable, and offer off-grid living options.

The beautiful homes have also brought diversity and flexibility in housing and given people a chance to live for experiences and not mere possessions.

If you want to reduce your costs, spend less time cleaning and maintaining your house, and more time living your life, tiny house living is well worth investigating.