Dream Big, Live Small: Family recovers in a tiny home after natural disaster took everything

When Hurricane Katrina struck the Gulf Coast of the United States in 2005, it hit the Parson family, hard.

The family of three lived in a beautiful waterfront home in Waveland, Mississippi, and lost all of their belongings during the storm -- including their beloved home. But in the midst of their tragedy, the Parsons realized that the loss of their possessions meant nothing and that it was family that mattered most.

So when it came time to rebuild, the Parson family went tiny.

The family constructed a tiny, familial nook in the same location as their former abode. The 576-square-foot home boasts high ceilings, an abundance of windows and views that rival a penthouse suite.

While the Parsons may have lost everything besides the front steps of their old home, they were able rebuild and restart their lives -- and for that, they are forever grateful.

Check out their amazing story and the beautifully designed digs in the video above.