Why More People Are Choosing Multi-Generational Homes in Today’s Market

The real estate market has seen a notable shift in recent years. One of the most significant trends emerging is the growing number of homebuyers opting for multi-generational homes. In fact, a surprising 17% of homebuyers today are choosing to purchase homes that accommodate multiple generations of their family—an all-time high according to the National Association of Realtors (NAR). But what’s driving this dramatic rise in multi-generational living? Is it just a passing trend, or is there something more to it?

Let’s dive into the reasons behind this shift and explore why more people are turning to multi-generational homes today.

What Is a Multi-Generational Home?

Before we get into the reasons why more people are choosing multi-generational homes, let’s first define what they are. A multi-generational home typically refers to a property that is designed or adapted to house more than one generation of a family. This might include parents living with their adult children, or even grandparents and extended relatives under the same roof.

Unlike traditional homes that cater to a single household, these homes offer extra space, separate living areas, or even full private suites to accommodate multiple family members living together.

Why Are More People Buying Multi-Generational Homes?

There’s a simple truth about the housing market today: homeownership is becoming more expensive. With rising home prices, higher mortgage rates, and inflation putting pressure on household budgets, many buyers are struggling to make their dream of owning a home a reality. Enter multi-generational living, a solution that allows families to pool their resources and tackle the financial challenges of buying a home together. But there are other benefits as well.

Let’s break down some of the key reasons why more people are choosing to live with extended family in today’s market.

The Financial Benefits of Multi-Generational Living

In today’s real estate market, affordability is one of the most significant factors driving the rise in multi-generational homes. According to NAR’s latest data, one of the primary reasons families are opting to live together is cost savings. When home prices are soaring and mortgage rates are climbing, many people find it difficult to afford a home on their own.

By joining forces with family members—whether it’s parents, siblings, or adult children—buyers can pool their financial resources to increase their buying power. This allows them to afford larger homes or homes in more desirable areas than they could otherwise. Not only can you split the cost of the mortgage, but you can also share expenses like utility bills, property taxes, and maintenance costs.

Rick Sharga, Founder and CEO at CJ Patrick Company, explains this perfectly:

“There are a few ways to improve affordability, at least marginally… purchase a property with a family member—there are a growing number of multi-generational households across the country today, and affordability is one of the reasons for this.”

By sharing the financial burden, families can also stretch their budgets, making homeownership more attainable. This arrangement can also help those struggling to buy their own homes due to today’s market conditions—especially first-time buyers who are new to homeownership.

Affording a Larger Home With Family

One of the appealing aspects of multi-generational living is the ability to afford a larger home. When multiple income sources are combined, families can afford a bigger property with more square footage.

For example, if you’ve always dreamed of having a spacious kitchen, a home office, or extra bedrooms for growing children, pooling resources with family could give you the financial flexibility to achieve those goals. Instead of settling for a smaller home due to affordability concerns, you might be able to purchase a more expansive property that suits everyone’s needs.

This is especially true when you consider the fact that many multi-generational homes are designed with separate living areas or in-law suites, which means everyone can have their space but still share the same roof.

Strengthening Family Bonds and Support Systems

Aside from the financial benefits, one of the hidden gems of multi-generational living is the opportunity it provides to strengthen family ties. Living under one roof offers more quality time with loved ones, especially when younger family members can build stronger relationships with grandparents, aunts, uncles, and cousins.

For parents with young children, having grandparents around can also provide a built-in support system. This can be invaluable when it comes to childcare, emotional support, and even helping with day-to-day tasks.

It’s not just about saving money; it’s about creating a community within the home. The family dynamic becomes richer, and there’s a deeper sense of connection and togetherness that comes from sharing a living space with multiple generations.

Meeting the Needs of Aging Family Members

The aging population has another role in the rise of multi-generational homes. Many adult children are choosing to live with their aging parents to help care for them as they grow older. This setup allows parents to stay in their homes longer while also receiving the care and attention they need.

Rather than sending a loved one to a nursing home or assisted living facility, multi-generational living offers a way for families to stay together and care for each other in familiar surroundings. Many homes today come with accessible features, such as ramps, wider doorways, or ground-floor suites, making it easier for seniors to age in place.

This trend also ties into a growing cultural shift where families are more inclined to care for aging relatives at home rather than outsourcing that responsibility to a facility.

A Growing Trend in the Housing Market

While affordability is a major driver, it’s not the only reason multi-generational homes are gaining popularity. In fact, the trend of families living together is growing in nearly every part of the country. In some areas, this way of living has become so popular that homebuilders are designing homes with multi-generational families in mind.

These homes are often equipped with private suites, separate living areas, and even second kitchens to ensure that everyone in the household can have their own space while still being close. This arrangement allows for both shared and private living—a perfect balance for modern families.

Bottom Line: Is a Multi-Generational Home Right for You?

If you’re struggling to find a home that fits your budget or if you’re simply looking for more space, a multi-generational home could be the perfect solution. Not only does it allow you to share the financial burden of homeownership, but it also offers the chance to build stronger relationships with your loved ones and create a support system that lasts.

At the end of the day, multi-generational living is about finding solutions that work for your family’s unique situation. Whether you’re caring for aging parents, pooling resources with adult children, or simply looking for more space, this trend is showing no signs of slowing down.

So, if you’re considering a move, why not explore the possibility of a multi-generational home? Let’s talk about your family’s needs and find the perfect property that fits everyone’s lifestyle. Your next home could be one that brings your family closer while helping you meet your financial goals.

Ready to make the move? Let’s connect and explore your options today!