When you live in a home that is just a few hundred square feet, it’s not just your storage space that is impacted. This choice comes with a lifestyle and, in some cases, some not-so-tiny financial implications.

So it’s not just tiny houses – it’s a movement. A movement towards simpler, smaller homes which gives many a chance to reprioritize their finances and reach for financial freedom.

Exactly How Tiny is Tiny?

Tiny home dwellers tend to take size restrictions very seriously – so the answer can vary depending on who you ask. Some say that a tiny house is less than 400 square feet.  Although others will claim that anything up to 1,000 square feet can still be considered “tiny”. For reference, the average single-family home in the U.S. today is more than 2,600 feet (or more than six times the size of your average tiny house).

A Counterculture Movement

Many of us spend roughly 30% or more of our income on housing and a much smaller percentage on savings or retirement. This trend suggests that having a large, or even luxurious, home is a financial priority in the U.S. – and there’s certainly nothing wrong with that! But, the popularity of housing as a financial priority is why the Tiny House Movement, in contrast, can be considered counterculture.

Read more here at Ally Financial!