diff --git a/contrib/README.md b/contrib/README.md
index 92b0b039..387c6e43 100644
--- a/contrib/README.md
+++ b/contrib/README.md
@@ -32,5 +32,9 @@ network where the developer has full control since the difficulty levels are low
 enough to generate blocks on demand and the developer owns all of the tickets
 and votes on the private network.
 
+The environment will be housed in the `$HOME/dcrdsimnetnodes` directory by
+default.  This can be overridden with the `DCR_SIMNET_ROOT` environment variable
+if desired.
+
 See the full [Simulation Network Reference](../docs/simnet_environment.mediawiki)
 for more details.
diff --git a/contrib/dcr_tmux_simnet_setup.sh b/contrib/dcr_tmux_simnet_setup.sh
index 257442de..16c3be8c 100755
--- a/contrib/dcr_tmux_simnet_setup.sh
+++ b/contrib/dcr_tmux_simnet_setup.sh
@@ -25,7 +25,7 @@
 set -e
 
 SESSION="dcrd-simnet-nodes"
-NODES_ROOT=~/dcrdsimnetnodes
+NODES_ROOT=${DCR_SIMNET_ROOT:-${HOME}/dcrdsimnetnodes}
 RPCUSER="USER"
 RPCPASS="PASS"
 WALLET_SEED="b280922d2cffda44648346412c5ec97f429938105003730414f10b01e1402eac"
diff --git a/docs/simnet_environment.mediawiki b/docs/simnet_environment.mediawiki
index eefc2b70..131cdf48 100644
--- a/docs/simnet_environment.mediawiki
+++ b/docs/simnet_environment.mediawiki
@@ -48,6 +48,10 @@ typically readily available on Unix and Linux platforms, to setup a
 self-contained environment with several terminal-based windows and panes with
 <code>dcrd</code> and <code>dcrwallet</code> already configured.
 
+The environment will be housed in the <code>$HOME/dcrdsimnetnodes</code>
+directory by default.  This can be overridden with the
+<code>DCR_SIMNET_ROOT</code> environment variable if desired.
+
 ===2.1 Preconfigured Environment Overview===
 
 The following provides an overview of how the environment that is automatically