This $2,000 Home Idea Could Save You Hundreds of Thousands of Dollars on a Mortgage (2024)

With the prices of living soaring across the world, people are finding tons of different ways to live sustainably. Some of these sustainable living trends include living in RVs, trailers, and tiny homes. One of the newer and more popular trends includes, believe it or not, living in a shipping container home.

Reusing shipping containers as homes has become wildly popular in the last few years. Their convenient size and shape makethem a perfect alternative to a modern home. You can order single shipping container rooms, or get more than one and stack them together to make full-sized houses.

On average, shipping containers go for around $2000 (1400-2800) for a 20ft container. If you’re looking for something bigger, 40ft containers usually go between $3500-$4500 [1]. It may seem somewhat steep at first, but when you see the type of house you can make with them, you’ll be looking up the closest shipping container retailer near you. Here are some examples of houses made with shipping containers:

What to Know Before You Build A Shipping Container Home

Now that you’ve seen some of the beautiful homes that can be made with shipping containers, I’m going to tell you 10 important things you should know before making one.

Choosing The Right Size

You may find it difficult sourcing the right-sized shipping container for you since there are only two standard sizes:

  • 20 feet long with 8-foot width and 8 foot, 6inch height
  • 40 feet long with 8-foot width and 8 foot, 6-inch height.

However, there are still a variety of non-standardized shipping containers on the market as well. Some of the dimensions that make upthese non-standard sizes include:

  • extra-long 45-foot containers
  • high cube containers that are a foot taller than the standard size
  • pallet-wide containers which have an internal width of 8 feet, and cut-down containers which can be reduced to any length.

See The Shipping Container Before You Buy It

Most shipping containers are purchased online today. While this is convenient, it also comes with its downsides. Many shipping-container-home owners often regret not taking a look at their containers before purchasing, as they can sometimes be in worse shape than they are advertised.

Just ask Larry Wade, the owner of this shipping container home. “The one thing that I wished I had not done was buy my containers without seeing them –I took the company’s word that they would be in good shape,” Wade says. “They were beat all to heck.”

Read: Boston’s skinniest home that was built out of spite is now on sale for $1.2 million. Take a look inside.

Get Familiar With The Laws About Shipping Container Homes

Every state, province, and country has its own individual set of rules and regulations for shipping container homes. The need for building permits often only applies to larger, multi-piece shipping container homes.

If you don’t want to go through the process of applying for a building permit and waiting on permission from your city council then opt for a single, 20-foot shipping container. Due to their size, they are not considered a “building”, however, you will find that they offer a surprising amount of indoor space, especially if you choose to get a pallet-wide container.

Think About The Wind

This is an issue that many shipping container-home-owners do not consider until it’s too late, and that is the noise that is generated by the wind on a shipping container. The best way toreduce the wind around your shipping container is by planting vegetation around it.

The best vegetation are dense evergreen trees and shrubs as these offer the most protection from the wind. They should be planted close together near the north or northwest end of your home. These natural windbreakers not only offer protection from the sound that the wind generates, but they will also help keep it warm during especially windy days.

Read: Nonprofit Organization Built Homeless Veterans Village of Tiny Homes Instead Of Leaving Them Homeless

Insulating your shipping container home

For shipping containers, blanket insulation is the optimal choice in terms of price and DIY friendliness. Although you will have to insert stud walls to place the insulation in (which may take a few inches off of your living space), once you have them in the fitted insulation can be placed in these gaps easily and quickly.

If you want insulation that takes up less space, go for spray foam insulation. This can be applied to both the interior and exterior of your shipping container, although it is more expensive and requires more work.

There you have it! This is the basic information you need to know before making a shipping container home. Let us know if this information was helpful to you in the comment section.

Keep Reading: Round Houses of Raw Earth: 3D Printing Sustainable Homes in 200 Hours

Sources

  1. The Cost of Building a Shipping Container Home.Target Box. No Date.
This $2,000 Home Idea Could Save You Hundreds of Thousands of Dollars on a Mortgage (2024)

FAQs

How can I save thousands on my mortgage? ›

  1. Shop Around for a Mortgage. ...
  2. Negotiate Your Rate. ...
  3. Compare Adjustable- and Fixed-Rate Mortgages. ...
  4. Make Biweekly Mortgage Payments. ...
  5. Make an Extra Payment Every Year. ...
  6. Refinance Your Mortgage. ...
  7. End PMI Early. ...
  8. Improve Your Credit For Greater Savings.
May 20, 2024

Is $100,000 enough for a down payment on a house? ›

It sure is. There are loan programs requiring as little as 3% down. Your choices are considerably broader with $100,000 available. $100,000 could conceivably get you into a home priced close to $1 million if you have enough income to qualify.

How much mortgage can you get for 2000 a month? ›

Mandy Phillips, a mortgage loan originator at Vista Home Loans, ran the numbers with the average property taxes and homeowners' insurance for California to find that buyers with a $2,000 budget could afford a $301,000 purchase price.

How much does $1,000 dollars affect mortgage? ›

Breaking it down further by every thousand dollars of your mortgage can help you how it all adds up. On that same $250,000 loan with 5 percent interest, you would pay $5.41 in interest each month for every $1,000 of the loan. You would pay $64.91 each year for every $1,000 of the loan.

What is the best amount to save for a house? ›

It's a good idea to put away anywhere from 25% to 30% of your home's purchase price to account for your down payment, closing costs and other assorted expenses. Aiming to save 25% should cover the bare minimum – a 20% down payment, plus 5% in closing costs.

How can I save the most on my mortgage? ›

WAYS TO SAVE MONEY FOR A MORTAGE DEPOSIT
  1. It all starts with a plan. ...
  2. Cut down and cut out. ...
  3. Turn living frugally into a positive. ...
  4. Spend smart. ...
  5. Set up - and use - a specific mortgage saving account. ...
  6. Treat yourself.

How much house can I afford if I make $36,000 a year? ›

On a salary of $36,000 per year, you can afford a house priced around $100,000-$110,000 with a monthly payment of just over $1,000. This assumes you have no other debts you're paying off, but also that you haven't been able to save much for a down payment.

How much mortgage is $1200 a month? ›

Calculating estimated mortgage payments

If you purchased a 30-year fixed rate mortgage, at an annual interest rate at 3.85%, and a mortgage loan amount of $255,968, your monthly principle and interest payment would be $1,200 each month.

How much house for $3,500 a month? ›

A $3,500 per month mortgage in the United States, based on our calculations, will put you in an above-average price range in many cities, or let you at least get a foot in the door in high cost of living areas. That price point is $550,000.

What happens if I pay $500 extra a month on my mortgage? ›

Making extra payments of $500/month could save you $60,798 in interest over the life of the loan. You could own your house 13 years sooner than under your current payment. These calculations are tools for learning more about the mortgage process and are for educational/estimation purposes only.

What happens if I pay an extra $1000 a month on my 15-year mortgage? ›

When you pay extra on your principal balance, you reduce the amount of your loan and save money on interest. Keep in mind that you may pay for other costs in your monthly payment, such as homeowners' insurance, property taxes, and private mortgage insurance (PMI).

What happens if I pay 3 extra mortgage payments a year? ›

Paying a little extra towards your mortgage can go a long way. Making your normal monthly payments will pay down, or amortize, your loan. However, if it fits within your budget, paying extra toward your principal can be a great way to lessen the time it takes to repay your loans and the amount of interest you'll pay.

How to reduce a 30-year mortgage to 10 years? ›

The choice comes down to careful study and a decision based on your financial position and ability to repay what will be higher monthly payments.
  1. Pay Extra Each Month. ...
  2. Pay Bi-Weekly. ...
  3. Make an Extra Mortgage Payment Every Year. ...
  4. Refinance with a Shorter-Term Mortgage. ...
  5. Recast Your Mortgage. ...
  6. Loan Modification. ...
  7. Pay Off Other Debts.

How to pay off $30,000 mortgage in 5 years? ›

There are some easy steps to follow to make your mortgage disappear in five years or so.
  1. Setting a Target Date. ...
  2. Making a Higher Down Payment. ...
  3. Choosing a Shorter Home Loan Term. ...
  4. Making Larger or More Frequent Payments. ...
  5. Spending Less on Other Things. ...
  6. Increasing Income.

How to pay off a 250k mortgage in 10 years? ›

Expert Tips to Pay Down Your Mortgage in 10 Years or Less
  1. Purchase a home you can afford. ...
  2. Understand and utilize mortgage points. ...
  3. Crunch the numbers. ...
  4. Pay down your other debts. ...
  5. Pay extra. ...
  6. Make biweekly payments. ...
  7. Be frugal. ...
  8. Hit the principal early.
Apr 19, 2022

How to pay $100,000 mortgage in 5 years? ›

With these principles in-mind, here's a look at five strategies that can help you pay down your mortgage in just five years:
  1. Make a substantial down payment. ...
  2. Boost your monthly payments. ...
  3. Pay bi-weekly. ...
  4. Make lump-sum principal payments. ...
  5. Get help paying the mortgage.
Jul 19, 2023

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