I can't hang my laundry outside on a line, and I'm pretty limited on space indoors as well. However, I really wanted to avoid the cost of running my dryer. I solved my problem by hanging a second shower curtain rod in my shower. Clothes are hung up on hangers while wet, then simply transfered to the closet once dry. Smaller items and non-clothing laundry can be draped over hangers as well.
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I found a great way to dry my clothes inside during the winter months. I have a furnace closet and I had my husband put hooks on each opposing wall so I can string clothes lines from the ceiling down to about 2 feet from the floor. I staggered the hooks so I get better ventlation between the clothes and it makes a great "drying closet"! Just be sure you do not have a pilot light in the area you use. I have used this for several years and it is great. The closet has louvered doors so I get to close off the closet and air circulates as well. Hope this helps!
Also if you have a little spot in a corner of a bedroom you could use a wooden drying rack, or you can put up a rod just to the front outside of your closet using hooks in the ceiling.
I know a woman who has lines strung on her enclosed porch. She opens all the porch windows and lets the breezes dry the clothes.
That is a better idea than I had. I found a small clothes rack at Salvation Army for $3.00 that folds up. Then I got a retractable clothesline like they have in motels. This would be less hassle !!!
I use the coat closet as a drying closet. I had an exhaust fan put in the top of the closet and a vent added to the door at the bottom. I fill the closet with hanging laundry, not to tightly, close the door and turn on the fan.
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