Yes! It can be hung outside as well as inside! Fun and functional as a decorative item or experimental habitat. It's made of naturally water repellant, hand felted wool. When it does get wet (mainly on the exterior) it will quickly dry. Wool is also naturally dirt resistant. Made with other sustainably harvested materials including a braided natural hemp hanging cord and a bamboo perch. The 1 1/4 inch' diameter opening is sized for small birds such as wrens, chickadees, titmice and blue birds. It can be enlarged for larger birds as desired. If birds don't choose to nest inside they may pull at the wool for material to feather their own nests, but many of our customers HAVE reported seeing wren, chicadees, titmous and even a blue bird go inside. Comes partially filled with recycled paper to maintain the shape in shipping that can easily be removed (and you'll see the news from Kathmandu, Nepal, where they are made!). As with any textile, colors will begin to fade if exposed to full sun after 1-2 months. If left fully exposed to rain and all elements the structure will be begin to deteriorate after a year, but it will maintain shape for a remarkable period. If left in a protected place such as a porch or especially inside then it could last forever!