I've been tossing this idea around in my head, and I glad to see some others are as well. I've been originally thinking prefab modern, but the costs just seem too high. I live in the California high desert and strawbale seems like it would work well. We don't want anything big, actually what Designbyphoto is describing is a lot like what we are thinking. I do like this plan:
http://www.architecturalhouseplans.com/home_plans/photo_detail.php?plan_id=58

I think it could be adapted to look more modern. I also like the idea of SIP's that use straw like this site:
http://www.agriboard.com/index.htm

I don't believe mold or other fears like rodents are the biggest obstacles, but finding a contractor that understands strawbale, and a lender that will support the project would be.
I just frankly don't want to become consumed with doing everything myself and would like to rely on a contractor.

Hello,

We are presently thinking of building a very small, straw bale cottage,
to help a friend out who is trying to homestead on some property we own
in Oneida county,  NY.   I am looking for a straw bale
consultant and an engineer who specializes in straw bale construction
for support,   The
building inspector I spoke to from Oneida county was not  receptive to
the idea of straw bale, he did say he knows absolutely nothing about
building with straw, so it's important that I find someone that I can
work with.



Thanks....