Dan Seiffert SVP, Accounting | realtors.com
Tiny homes and accessory dwelling units (ADUs) are now available for purchase on Amazon, with prices ranging from $8,500 to $55,000. However, potential buyers should be aware of the complexities involved in owning such structures.
ADUs are small housing units built on properties that already have a main structure. Tiny homes are compact units typically under 400 square feet. Both options offer economical ways to increase living space.
Paul Dashevsky, co-CEO of Maxable, emphasized the importance of understanding what one is buying. He noted that buyers should verify whether they are purchasing a fully built home or a kit requiring assembly. "If assembly is required, make sure you first speak to a local contractor and determine the price of assembly," said Dashevsky.
The cost of building an ADU varies widely depending on location and size. "A brand new ADU built on your site will greatly depend on your region and the size of the ADU, but a good range is $80,000 to $400,000," according to Dashevsky.
Buyers must also check local zoning laws before purchasing. It's crucial to confirm if such dwellings are allowed on their property and what permits may be necessary. Dashevsky advised consulting city or county building departments: "The last thing you want is a tiny home you have to sell or return because your city won't allow it."
Utilities such as electricity and plumbing must be considered beforehand. "A tiny home won’t do you much good if it isn’t connected to electrical power, water, and sewer at the very least," said Dashevsky.
Weather-proofing is another critical factor for those in regions prone to extreme weather conditions. Buyers should ensure their tiny homes can withstand snow, sleet, winds, earthquakes, or hurricanes.
Insurance for tiny homes can be challenging since many don't qualify for traditional homeowners insurance policies. However, some may qualify for RV or mobile home insurance if they meet certain codes.
Dashevsky warned against underestimating total costs associated with buying these homes online: "The bottom line is that you really need to know all the costs involved." Additional expenses could include hiring contractors for construction and utility connections.
Despite these challenges, ordering a tiny home or ADU from Amazon remains an attractive option for affordable housing solutions.
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