Looking For An Affordable Home? Try These Two Options

Buying an affordable home in today's market can be difficult. Finding something that fits your budget may require you to rethink your needs and consider alternative living options. Here are two residence types that may be easier on the wallet while still providing a comfortable place to live.

Tiny Homes 

If you're not concerned about how much square footage your home has, then a tiny home may be your best bet to getting your foot in the door of homeownership. Though they are a fraction of the size of average single-family houses, tiny homes have the same amenities, just in a more compact size. For instance, they may only have a walk-in shower instead of a full bath.

What these homes lack in interior space, though, they make up for in other ways. Tiny homes don't require as much land and are easy to set up to use off-grid, which can save money on energy bills. They're small enough to be put on trailers too, making them a decent alternative to RVs.

Depending on the size, these homes can accommodate a couple of people and cost an average of $52,000, so they will fit even the tightest budget. As a tradeoff, though, you can't put as much stuff inside. Thus, these homes are better suited for minimalists and people looking to downsize from bigger houses.

Be aware, though, living in a tiny home isn't everyone's cup of tea. So, selling the home may be more challenging when you're ready to upgrade to something bigger. Be sure to consult with a real estate agent about the house's resale prospects so you can adequately prepare for the future.

Multi-Unit Property

At first glance, it may seem like a multi-unit property isn't a good investment for someone shopping for a home on a budget. However, if you and several people in your social circle are all looking for affordable housing, then a multi-unit dwelling may be a way for everyone to get what they need within their budgets.

Multi-unit homes are self-contained properties that connect to each other. For instance, a duplex is two separate living areas that share one wall. Some older properties also share utilities, such as heating and electricity, but can typically be upgraded to use separate lines.

If you and your friends or family members get along and plan on staying in the same area for a while, you can pool your money together and purchase a multi-unit dwelling. You'll typically pay less per home than you would for a single-family property but still enjoy having your own space.

However, be sure to sit down with a lawyer and iron out important details, such as how taxes will be paid and what happens to the home when people move out. A real estate agent can also help you understand what issues may arise when there are multiple investors in the same property.

For help finding an affordable home that's right for you, contact a local real estate agent.