^^ Sadly the range is small...

The range is 3-d though. I have sandwiched my 'bedroom' in my home's levels to help with this... the hearths are above me in my kitchen (and by being above, no smoke problems, thats the top level, no chimney knot twisting construction) and some of the annoying items (like the child sized chair and darkwood table) are below me in my crafting room. Turns you you can sit at a workbench and still use it, which is cool.

by the way 5x5 is not going to work long term. I tried a micro home and ended up with 2 5x5 rooms full and no hot-tub. I got everything else in there, but I had to do some space-saving trick including some stuff up the walls and an 'attic' of sorts. IMHO you need one 5x5 for crafting, another for comfort and one more smaller room for kitchen if you don't want that in your comfort room, and that covers all the necessary items but leaves you high&dry for portals, storage, trophies, etc.