Would you invest in a ‘LEGO House’?

Throughout the years, houses and apartments are the main property investment types for many investors in Australia. They all have their advantages in terms of investing and living. Houses are traditional investment types. They tend to have higher capital growth as land usually appreciates in the long term. Apartments are now gaining more and more popularity among young people due to their affordable prices and suitable sizes. In recent years, the concept of ‘tiny home’ has arisen. IKEA launched the idea of container homes with a focus on sustainability. Designers converted old shipping containers into 187-square-foot tiny homes. Within each tiny home, solar panels, composting toilets, and an on-demand heated water supply are provided. Buyers can also buy furniture and decoration from IKEA to personalize their homes. It is considered to be sustainable since a tiny house will take up less space and less energy will be consumed. Also, all the building materials are renewable and reusable. In Australia, there is a similar idea. An architect in Sydney has created a flat-pack home with the purpose of solving housing affordability and sustainability. Each home contains one bedroom and it is 13.75-square-metre. It currently costs $65,000 and buyers are ready to move in once they buy the houses. In China, the technology of 3D printing is used to build single-storey houses. Giant 3D printers spray a mixture of cement and construction waste to build houses. The idea of tiny houses is all around the world. Tiny houses have become a new trend in the field of architecture and may gradually gain popularity among young property investors in the future. In Australia, housing affordability has always been a heated topic due to the stagnated wage growth and rising housing prices. Affordable tiny houses could be a choice for many young people with limited budgets. Besides, family sizes are getting smaller nowadays due to the low fertility rate and other social issues. For example, there are lots of single-parent family and DINK. It is not necessary for them to spend a large amount of money on buying big houses. All they need is just a cozy home. Tiny houses provide a strong supply of affordable housing. The ideas behind tiny houses are sustainability and minimalism. This new trend may bring new concepts into property investment. It is not about making a huge amount of money or buying luxury houses for individuals. Instead, investing is a way to enable everyone to live better and more sustainably in a community. Although the concept of tiny houses is still very new and immature, it could be new blood into the housing market in the future.

Vincy Mai

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