People have been buying sheds and using garage space for home offices since the start of the Pandemic.

The interesting question is about the tax situation. If a home has dedicated office space as opposed to shared space, it is treated differently from a tax perspective.

Gotta love the photo. SO not typical, but it fuels the fire of the war against SFH. A person with the resources to buy and run the sort of home pictured is more likely a business owner than an employee. And, I suspect, not too concerned about room to WFH. I get that this is an area in which there are many who can afford such a large and beautiful home, but that is hardly the sort of housing that is needed.

The home shown here is a monument to self. Only a certain type of person buys this kind of ostentatious residence--even among those who might be able to to afford one. It is grossly atypical, even among homes of the wealthy. With only a few exceptions, most of the people I know who run businesses are high achievers, more interested in building a business and taking care of their valued employees and customers and making things than in making an impression. They are too busy working to be bothered managing an over-sized estate home.

Not exactly pertinent since I'm not in the market to buy a house. But WFH kept me at my job nearly 3 years longer than I'd planned. I was going to retire in 2020 but couldn't go anywhere because of the pandemic. And I was one of the lucky ones permitted to continue to work from home and not needing to have a 40-minute commute each way. So I stayed on.

The effect of post pandemic remote v. hybrid working conditions on real estate valuation and land use patterns shouldn't be viewed in isolation. Beyond work, many other aspects of individual, family and group experience are highly significant. The ability to tele-commute and conduct virtual meetings is liberating, but what about community engagement, schools, faith communities, team sports, walkability, shopping, interacting with neighbors, and more? ChatGPT enumerates some differences between cities, towns or villages, which may be relevant for remote working:

A city, town, and village are all different types of human settlements, each with its own distinct characteristics.

Generally, a city is a large urban area with a high population density, complex infrastructure, and diverse economic and cultural activities. Cities are usually centers of commerce, trade, and industry, and they offer a wide range of services, including transportation, healthcare, education, and entertainment.

A town, on the other hand, is a smaller urban area than a city, with a lower population density and a more limited range of services and amenities. Towns are often characterized by their historic or cultural heritage, and they may have a distinct identity based on their location, industry, or other factors.

A village, in contrast, is a small, rural settlement with a tight-knit community and a predominantly agricultural economy. Villages are often located in remote areas and have a slower pace of life than towns or cities.

While the exact definitions of these terms may vary depending on the country or region, the main differences between a city, town, and village typically involve factors such as population size, infrastructure, economic activity, and cultural identity.