A compact home allows you to have a great lifestyle.
I  hear a lot of people saying that “Oh, a house should be at least 150 square meters (1500 square feet).”

That is hardly necessary.
Your house should cover your essential needs, have a little extra room, but not more. There is much at stake when you choose to build your house much bigger than you need it to be.


WHY PAY FOR SOMETHING YOU DON’T USE?

If you have a big family you might need 1,500 square feet home. But if it's just 2 to 3 people using the house, I'd say 700 to 800 square feet is good enough. Why pay for something you are not using?

If you are going to buy a house, you shouldn't look at what other people are buying. 

Think about your personal needs and make decisions based on that.
If 700 square feet is all you need, that’s good. You have more extra resources to invest in other aspects that will make your life better.

EXTRA SPACE ATTRACTS CLUTTER

There is a thing about clutter: it takes up your time.

Any space has a tendency to fill itself with stuff. If you have a lot of space, you tend to buy a lot of stuff because there is still so much room for them. Very often, you don't even need those stuff. 

The less excess space you have, the less stuff you feel compelled to buy.

We don’t think about how the things we own eat away at our time and choices. Anything you buy, every single one, takes at least some seconds from your life. Even the harmless painting on the wall will have to be dusted occasionally.

Compact homes have less spare space and can effectively save you a great deal of time with all the clutter you'll never have to deal with.

So, if you have fewer things, you will have more time for yourself, for your friends, visiting family, doing your hobbies, doing the fun stuff. It is really simple. If you want to do more fun stuff, buy less stuff.

A BIG HOUSE IS AN EXPENSIVE STATUS SYMBOL

Very often people build big homes just to show off their status, not for the need. That’s perfectly okay if you are a millionaire. Why shouldn't you show off that you are a millionaire? 

But if you are not a millionaire why show off as if you are?
You’ll have to pay big money with the interest to the banks just to show off.

You may be actually living a much happier life in a smaller space.
Bigger homes take much more time and money on maintenance and cleaning. 

Also, the utility bills and mortgage are more expensive.
Practically everything in a big home is more expensive.
If the goal is only some claim to status, would that be worth the hefty cost?

There is no shame in owning a compact home. It is just a smart decision.

YOU WILL NOT NEED ALL THAT SPACE FOREVER

Your needs for housing will change over time.

When children grow up and leave the house, you will need less space.  
Not many people think this way, but it is better to live more tightly together and have just enough space for everyone for a short period. 

When you want a big space for everybody, you will wonder what you’ll do with all of it when the kids have left.

IT IS ALL ABOUT FREEDOM

Smaller spaces actually offer you more freedom.
If you go for more compact living, you get to keep your options open. 
You can do what you want with your time and money. 

If you build a big house, you are tied to serving this one decision you made in the past. If you already took the obligations in front of bank and utility companies, you have no more choice... you just have to pay it whether you work on two jobs or something.

Smaller spaces don’t keep you locked in the same way. They give you more freedom.
Financially, you are free from obligations. Time-wise, you’re not burdened by constant cleaning and maintenance in your home.

That's what compact living is all about: your freedom.