Would you invest in a house that is only 900 sq ft?

[Ella]

I found a house that my husband and I could afford to buy. The thing is, it is really small. Everything has been updated in it and everything but we are not sure it is worth it. I feel like if we buy it and move, we would be downgrading and since we do intend on having kids, this would be a tight fit considering we have a whole room dedicated to a home office now and without basement storage, the smallest room in the house would have to be a storage room. 

[James]

Yes! The smaller the better. It is a little smaller then my typical target but if the price is right I would be all over it. I like 1000 - 1200 sqft seems to be the sweet spot for my rentals when I look at it as rent per/sqft. 

Any real-estate if you can buy it cheap enough can of course be a great investment. 

Now since you are thinking of living in it would it work for you for maybe the next 3 years? I am pretty sure if the house is your full time residence and you live in it for 3 years when you sell it you can profit tax free up to 250k or 500k if married. 

Mindy Jensen talks a lot about live in flips and she has done it quite a few times https://www.biggerpockets.com/users/mindyjensen

 

[Sophia]

900 sq ft isn't that small. 

I think people are under the impression they need a house that is 1,500+ which isn't true. You could always rent it out and move if you needed more space. I guess it depends on what you have now and what your 5 year plan looks like.

[Scarlett]

You can always expand or use it as a rental. My first apartment was only 550 sq ft and it was plenty big enough for two people. I understand wanting more space for a family though. There is a lot to consider there. 

[Stacey]

Personally, no. I would not want anything under 1,200. I am not investing for rental property or anything though, I would be looking only for myself to move into the house and I want enough room for a family.