This story is possibly more annacdotal, but presents a possible growing trend — energy efficient microhomes. In stark contrast to “McMansions” microhomes efficiently use space and are priced at under $150,000.

It is reasonable to think that smaller new homes could temporarily fill a market glut while US housing pricing correct. Higher interest rates mean higher monthly payments; downward trending pricing should create psychological resistance of consumers to purchase more than they can afford. As this gap narrows the appeal of microhomes from a financial standpoint may drop.

Read more & see a video at ABC News.