One way to get around zoning restrictions is to find an existing small house. I have a 400sqft house that was built a century ago, before building codes existed. It isn’t legal to build something here under 800sqft now. My neighborhood is full of little houses like mine, and demand for them is very low.

I’m 60 miles east, and 1 mile above, Los Angeles, in a National Forest. It snows here. The views are lovely. My house is worth $100k.