As foreclosure rates rapidly increase, there are plenty of eyes on the housing market for affordable options. If you’re looking for a true bargain, how does $5,000 sound? Before you start pounding the “For Sale” sign into the front lawn, let us explain the Universal World House. First of all, it’s not for use in the U.S. (at least not initially), rather it’s a prefabricated home made from recycled paper that’s ultimate purpose is as shelter for refugees and those living in Third World slums.

With 390 square feet, eight built-in beds and plumbing, the paper house holds huge promise as a home for those in need. Better yet, the Universal World House may be a realistic and environmentally sustainable solution. That’s because the material that makes up the house comes from cellulose derived from recycled newspaper and cardboard (which are then soaked in resin). The ultimate product is both well-insulated and sturdy–despite what the name “paper house” might conjure up in your mind–and, equally important, very cost effective.

A creation of Gerd Niemoeller, the owner of the Swiss-based company Wall AG, the Universal World House is currently being considered by a range of organizations for use abroad. Once a buyer (or buyers) are determined, the machinery used to create the paper houses would be built in Germany and then shipped to the countries where the houses would be; reducing the environmental impact of shipping complete houses and providing an opportunity to employ local workers.

Whether the paper houses will be an affordable enough option for disaster relief agencies and foreign countries to implement remains to be seen, as does the effectiveness of the house once in actual use, but we think this innovation of a relief home that is equally price and environment conscious is impressive already.

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