Magazines and design blogs abound with tales of retirees opting for tiny homes or RVs to trim expenses and obligations. With costs averaging around $30,000 and monthly utilities as minimal as $15, some advocates even credit this shift with enabling them to retire ahead of schedule. While the tiny house movement is relatively recent, retiring to a mobile life in an RV is a longstanding tradition among retirees.
But should attending an RV or tiny house expo be your immediate post-retirement plan? Not quite. Rushing into a significant purchase right after retiring seldom proves wise, with numerous crucial considerations to address first.
- Is your tiny home compliant with local regulations?
Federal standards from 2018 dictate a minimum size of 88 square feet, but various states impose additional requirements. For instance, in certain parts of North Carolina, you’ll need a minimum of 150 square feet, plus an extra 100 square feet per additional occupant.
- How will you handle your belongings?
Retirees typically amass a lifetime’s worth of possessions: gifts from family, collections, holiday trimmings, even forgotten sports trophies. Yet, a tiny house or RV won’t accommodate all that. You’ll face a significant downsizing challenge, whether by storage, donation, or estate sale.
- What’s the cost of outfitting your new space?
While you might save on mortgage, utilities, and property taxes, don’t overlook the expense of furnishing your tiny abode or RV from scratch. Custom-built or specialized furniture and appliances will add to your tab.
- Is your chosen living arrangement adaptable for aging?
Many RVs and tiny houses sit on wheels or elevated platforms, necessitating ladder climbs to access sleeping areas. But what if mobility issues arise? Can you retrofit your dwelling to ensure accessibility? I recall reading about one retiree who rigged a rock-climbing harness to ascend to her loft; the practicality of such arrangements, especially during midnight bathroom trips, seems questionable.
- How will this impact family traditions?
If you’re accustomed to hosting large family gatherings, adjusting to the limitations of your new space will be essential. Tiny homes and RVs lack the room for traditional entertaining or cooking for a crowd. What becomes of cherished family events? Will loved ones camp nearby for Thanksgiving, or will someone else take up the hosting duties?
- Where will you park?
My spouse and I often entertain the idea of spending our retirement traveling in an RV, parking in our children’s driveways one by one throughout the year. If this is your plan, have you discussed it with your children? Do they have space for you to park off-street? Have you considered water and sewage hookups? If you’re leaning towards a more permanent location for your tiny home, it’s worth investigating if your state offers tiny house co-ops or researching rental options in trailer parks.
- Will your relationship withstand the transition?
Transitioning to retirement can already be a significant adjustment for couples who have both been working for decades, as it often involves spending much more time together. Are you prepared to sacrifice personal space and spend your days in close quarters? Will small annoyances, like leaving shoes on the floor, become amplified in such a confined space? Keep in mind that tiny homes and RVs typically have only one bathroom; are you ready to navigate sharing it?
- Can you secure financing?
While some retirees may be able to purchase an RV or tiny home outright after selling their traditional house, securing a loan is another option. However, traditional mortgages won’t apply to recreational vehicles. Instead, you’ll need to qualify for an RV loan, which typically requires excellent credit. For tiny homes, financing options include RV loans or personal loans.
- Deciding between a tiny house and an RV
Some individuals may question why tiny houses come with a higher price tag compared to RVs. Is it merely due to their aesthetic appeal and trendiness? In reality, there’s a significant difference: A well-built tiny house is designed for daily living, whereas RVs are primarily constructed for recreational use and may deteriorate more quickly.
A piece of advice: Test before you invest
Regardless of whether you’re leaning towards a tiny house or an RV for your retirement, it’s prudent to rent one before committing to a purchase. Spending weekends in various types of tiny homes or RVs can provide valuable insights, but remember, vacationing is often more enjoyable than day-to-day living. If you’re serious about adopting the lifestyle, consider temporarily relocating to a rented tiny home or RV for an extended period, like six months to a year, before making a final decision.
