Living in a house roughly about 500 square feet is really catching on lately. And it has a lot to do with two big factors:

  • Economic instability
  • Push for sustainability

First off, the cost of living is skyrocketing. Be it rent, home prices, or even utilities—people are always looking for ways to cut back. It's situations like these that push people to declutter and downsize.

Take someone who’s paying high rent in a city; they could downsize to a tiny house and cut their housing costs in half (maybe more). Plus, the smaller space means you'll have lower bills—less electricity, less heat, and fewer things to spend money on.

Then there's the sustainability side. A tiny home takes far fewer resources to build and maintain. It can be equipped with energy-efficient designs like solar panels and composting toilets. This way, you’re reducing your environmental footprint without sweating. In fact, some people are so committed to the zero-waste lifestyle that they are converting shipping containers into homes.

Since tiny houses are no longer a niche idea, you might wanna check out some communities that are doing great in small-space living. In this article, we'll look into 5 such communities.

Tiny Town, Toronto

If you’re familiar with Craven Road in Toronto, you’ll land right in the heart of Tiny Town after a few minutes of strolling. It's a delightful cluster of tiny homes that embody the best of minimalist, eco-friendly living.

Most of them are clocking in under 500 square feet, and each has its own personality. Some owners have even added a second story to maximize space, because, why not build up if you can’t build out?

Craven Road itself is a bit of a Toronto oddity. It's a one way street with one side lined with homes, the other dominated by the city’s longest wooden fence. Tiny Town is nestled perfectly here, giving you access to shared gardens, co-working spaces, and the kind of neighborly vibes you just don’t find everywhere.

If you’ve got your eye on tiny living, the Greenwood–Coxwell area might just have the perfect listing for you. Keep an eye out for homes for sale in Toronto—you could snag your own tiny piece of Craven Road’s quirky charm!

Bluewater Village Resort, Goderich

Bluewater Village is a short drive (about 6.2 miles) away from downtown Goderich. If you are an adventurer, this is your place. Housing options are available along the shores of Lake Huron.

Bluewater Village Resort is a paradise for anyone who loves the outdoors. You can hit up the hiking trails nearby. If fishing’s your thing, Lake Huron’s got some awesome spots. And when it comes to water sports, you can’t go wrong. The lake’s massive shoreline is perfect for surfing, paddleboarding, kayaking, or just messing around in the water. It’s got everything you need for a laid-back, fun adventure.

The most interesting thing about this place is that Bluewater Village Resort is the pioneer of “hybrid living.” The resort is open for booking all year round, but due to regulations, it cannot be your permanent residence.

To make it more clear, this resort offers seasonal sites for tiny homes and RV’s. So, unless you buy a $250,000 trailer with a 10-year lease, you'll likely receive an eviction notice.

Bluegrass Meadows Micro Village

Bluegrass Meadows Micro Village is the first tiny house community in Canada. It is about a 12-15 minute drive away from downtown Terrace.

In 2015, Terrace faced a debilitating rental crisis which is when this community was brought to life. The property comprises 31 acres and it is situated between the Kalum River and the Nisga’a I Highway.

Bluegrass Meadows has monthly rentals for micro homes and cabins that are up to 480 square feet, starting at just $700 a month. You’ll need to stay for at least two months, but you can sign a rental agreement for up to a year. It’s a great option if you’re looking for a cozy place to live close to nature without breaking the bank!

Arcadia Off-grid Community, Commanda

Arcadia is an off-grid community that is located about three and a half hours north of Toronto. You don't need building permits to have a tiny home on wheels in this area. Because it's an unorganized township.

Since these houses are legal, there are no restrictions on the sizes or types of structures that can be built. A massive perk of living here is that the lots in Arcadia are much larger compared to other tiny home communities, with sizes reaching up to 12,000 square feet. These spacious lots are also dotted with plenty of trees, which greatly helps with privacy.

Even though the road is maintained and accessible all year, all the homes must be completely off-grid. This means you need to have your own plumbing, power source, gas, etc.

Salt Spring Island Tiny Homes

Colin Crystal, a local carpenter, started Salt Spring Island Tiny Homes, and he’s building these super cute, eco-friendly houses. One of his models is just 10'x19′, but it’s got everything—kitchen, bathroom, loft, the works!

It's only 10'x19′, but it’s packed with everything you'd need. The kitchen’s got Ikea cabinets, a propane stove, and a fridge. Power comes from an extension cord, but you can go solar if you're trying to save some extra pennies. You can hook up water from a nearby building or collect rainwater off the roof. Also, it’s insulated to keep you warm, and you can even use the greywater to water plants. Your little gypsy caravan cannot get cozier than this!

Bottom Line

When you think of a tiny house, it often conjures images of one on wheels. The typical tiny house is usually built on a trailer, allowing it to bypass various codes and zoning regulations that mandate a minimum size for buildings to be considered habitable. For example, cities like Regina and Saskatoon have pesky rules that require new single-family dwellings to be at least 800 square feet.

There are so many options when it comes to tiny house communities. So, let yourself play around with ideas and choose the best location for you and your loved ones to settle in!