If you are a "handyman" or like to fix your own vehicles and save thousands of dollars a year fixing it yourself, smaller living can be a disadvantage if you dont plan ahead. Build that small home, but build a seperate workshop to fit your needs. If you rent or buy a condo you may be stuck. They typically have rules keeping you from working on your vehicles.
Be sure to check first on rules and the possibility of having a workshop if you are a handyman or a "gearhead" that works on cars (or builds hotrods.)