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Locking them up in a barn or something is a good thing, but we mainly do it to keep them out of possible rain. Goats are never too big for predators though. Of course, a raccoon won't do damage - but a coyote can.
I don't know of mini sheep, but there are plenty breeds that are very small.
Goat milk usually doesn't taste much different from cow's, but the higher butterfat in the milk (which Nigerians do have) the sweeter and creamier the milk. Far more delicious than the average cow milk. Milking a goat is pretty easy - You just need a milking stancheon (sort of a table with a place to lock the goat's head in) so that she can eat while you milk her.
Now it is true, though, that goats are more of a shrub/bush type of eater, and don't favor grass very much. But the nice thing is that a small breed like a Nigerian Dwarf can fit in the back of even a small car.