As Aussie Tiny Houses enters an exciting new chapter with Thiago Perroni recently becoming full owner of the business, we sat down with him to reflect on his journey, how far the tiny house movement has come — and where it’s headed next.
Having been hands-on in the business for the past 8 years as co-owner and Director of Operations, Thiago has played a pivotal role in shaping how Aussie Tiny Houses designs, builds and delivers high-quality tiny homes across Australia. With a front-row seat to the evolution of tiny living, and deep insight into both construction and regulation, Thiago offers a grounded, practical perspective on the current landscape, the challenges still facing the sector, and his vision for the future of tiny houses in Australia.
Q: How have you seen the tiny house movement evolve?
Thiago: I first joined Aussie Tiny Houses as co-owner eight years ago, and what started as a niche lifestyle choice has transformed into a significant alternative housing movement in Australia. Back then, most people had only just heard of tiny houses; it was largely inspired by movements in the United States and Europe.
Today, Australians are choosing tiny living for reasons as diverse as affordable housing, sustainability, financial freedom, flexibility and a simpler lifestyle. When we began building Tiny Houses on Wheels (THOWs), we were among the first in Australia to take this seriously as a business — blending real build quality with functional design. Since then, we’ve delivered over 700 homes across urban and regional Australia, including Tasmania, and we’ve seen the community around tiny living grow stronger and more vocal each year.
Q: In your view, what’s changed most in the last few years for tiny house owners?
Thiago: Two big shifts: acceptance and conversation. First, more people understand that tiny houses are real homes, not just caravans or holiday trailers — they are built to caravan regulation for practical reasons.
Second, tiny houses are now part of a broader discussion about housing affordability and alternative living solutions. Progressive Councils and planners nationally are starting to recognise this. A handful now have tiny house-specific strategies or trials that reflect the real way people want to live.
Q: Why are Tiny Houses On Wheels usually classified as caravans in Australia?
Thiago: That comes down to legal and planning frameworks, as well as the ability to tow them on the roads for delivery purposes. Because THOWs are built on trailers and can be moved, most states and councils classify them as caravans, not traditional dwellings. That has pros and cons.
The upside is that tiny houses don’t require building permits and are more affordable and flexible as a result. You can get a VIN, register them with the transport authority, and move them like any other caravan.
The downside is that councils often impose occupation limits — for example, you can only live in a caravan long-term if certain permissions exist, and some councils restrict how long you can stay in one place each year.
Q: What are the main regulatory hurdles tiny house owners still face?
Thiago: Even as the movement grows, planning laws lag behind. Most tiny houses are not recognised as a dwelling in planning codes, and councils often treat them the same as traditional caravans or camping vehicles, which means
- Restrictions on living in a THOW on private land full time.
- Requirement to apply for temporary occupation permits.
- Permits that need renewal or re-application.
- Ambiguous rules that vary between Local Government Areas (LGAs).
Despite pockets of change with some councils recognising THOWs as permanent dwellings and permit reforms, many people still find it complicated to use their tiny house as their primary residence without special approvals.
Q: What do councils that are changing look like?
Thiago: A few councils are pioneering a forward-thinking approach:
- Shire of Esperance (WA) became the first to recognise tiny houses on wheels as permanent dwellings.
- Mount Alexander Shire (VIC) removed a permit requirement for THOWs on properties with existing dwellings.
- Surf Coast Shire (VIC) started a two-year trial allowing domestic use of THOWs.
These councils are seeing tiny houses as housing solutions, not temporary or ancillary structures, and that matters. It’s an important shift from treating tiny houses under outdated caravan/camping rules.
Q: A lot of people choose tiny houses for sustainability — how has design evolved?
Thiago: Absolutely. Today’s tiny houses are far more than compact shelters — particularly Tiny Houses on Wheels (THOWs), which are a practical response to Australia’s housing affordability challenges. We design and build fully integrated, best in class quality homes that prioritise liveability, longevity and sustainability, making tiny living a genuine option for people of all ages, from first-home buyers and single professionals to downsizers and retirees.
We offer
- Multi-use spaces and minimalist layouts that make small footprints feel open, functional and comfortable for everyday living.
- Off-grid and low-impact capabilities, including solar power and rainwater harvesting, giving owners greater independence and lower ongoing costs.
- High-performance construction, with improved insulation, energy-efficient windows and durable, sustainable materials now considered standard rather than optional.
Our design choices go well beyond aesthetics. They’re about delivering a high quality of life in a smaller, more affordable home — one that responds to rising housing costs, supports long-term living, and aligns with Australia’s climate goals and evolving housing needs.
Q: What would you say to someone considering a tiny house today?
Thiago: The first thing I’d say is that not all tiny houses are created equal. The category has grown quickly, and with that has come a wide range of build quality, compliance standards and design intent. That’s why doing your research early is critical. Be clear on your lifestyle goals (off-grid, full-time living, mobility), be aware that 3-metre-wide tiny houses that are a load on a trailer cannot be insured (despite some companies suggesting otherwise), and choose a builder whose approach genuinely aligns with how you want to live in the home.
At Aussie Tiny Houses, we build tiny homes the same way you’d build a traditional house — just smaller, smarter and more efficient. We don’t cut corners with DIY shortcuts or offshore kits that aren’t designed for Australian conditions or long-term living. Our builds are engineered, road-legal, structurally robust and designed for everyday use, not just short stays or novelty value.
In my view, what sets Aussie Tiny Houses apart is years of refinement on the operational and build side: considered layouts that genuinely work, quality materials, proper insulation, and construction methods that prioritise longevity. The result is a tiny house that feels like a real home — one that stands the test of time and supports full-time living with confidence.
Q: From a wish list perspective, what would you like to see change this year?
Thiago: My wishlist for 2026 includes:
- Clear standards to address an unregulated market. One of the biggest changes I’d like to see is clearer regulation and minimum standards for tiny house builds. At the moment, the market is largely unregulated, which creates space for backyard builders to enter without the experience, engineering knowledge or quality controls required for safe, long-term living. This can mislead buyers, damage trust in the category, and ultimately undermine the perceived value of tiny houses by creating confusion around pricing, quality, and what buyers are actually getting for their investment. Introducing clearer guidelines around construction quality, safety and compliance would protect consumers, lift industry standards and support the long-term credibility of tiny houses in Australia.
- Protection of original design work. As the industry has grown, we’ve also seen competitors directly copy the work that Aussie Tiny Houses has invested years refining — from model names through to floor plans and layouts. Innovation takes time, testing and operational experience, and it’s disappointing to see that effort replicated without the same level of design thinking or build quality behind it. Greater respect for intellectual property and original design would encourage genuine innovation across the sector and ensure customers are choosing between truly differentiated products, not replicas.
- Support for utility connections. Full-time living needs access to water, sewage and power. Streamlined processes or guidance from state bodies would help tiny house owners transition from ‘temporary’ to ‘permanent’ living.
- More tiny house communities. There is strong and growing demand for community-based tiny living, including co-housing developments and tiny house villages, particularly using Tiny Houses on Wheels. These models offer a fast, cost-effective and scalable response to the housing crisis, providing secure, well-designed homes at a fraction of the cost of traditional housing. With more considered planning and fewer zoning barriers, tiny house communities could deliver genuinely affordable housing precincts without the long lead times or infrastructure demands of conventional developments.
This isn’t a radical idea — it reflects how people are already choosing to live and the economic realities they’re facing. With more careful attention and informed policy support from government, THOWs could play a meaningful role in addressing Australia’s housing challenges.
Q: Final thoughts on the future of tiny living in Australia?
Thiago: I’m optimistic. Tiny houses are no longer fringe — they’re part of a real shift in how Australians think about housing, community and lifestyle. With smarter planning policies, clearer national standards, and ongoing innovation in design and build quality, we could see tiny living go from alternative to mainstream choice — especially for retirees, young families, back-to-land pioneers, remote workers and sustainability seekers. I truly believe that tiny houses are more than a trend — they are a practical response to the housing challenges of our time.
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