Why multi-generational homes make sense?

Today, 17% of homebuyers are choosing multi-generational homes — that’s when you buy a house with your parents, adult children, or even distant relatives. What makes that noteworthy is that 17% is actually the highest level ever recorded by the National Association of Realtors (NAR). But what’s driving the recent rise in multi-generational living?

Living with extended family today is a privlege more people are appreciating. A wish and a norm in many cultures, now American families are also turning to the benefits of planning life around multi-generational living.

Why Choose a multi-generation home?

In the past, homebuyers often opted for multi-generational homes to make it easier to care for their parents. And while that’s still a key reason, it’s not the only one. Right now, there’s other powerful motivators: affordability and quality of life.

According to the latest data from NAR, cost savings are the main reason more people are choosing to live with family today.

The rising cost of homeownership and childcare is making it harder for many people to afford a home on their own. This has led to more families pooling their resources to make buying a home possible.

By combining incomes and sharing expenses like the mortgage, utility bills, and more, multi-generational living offers a way to overcome financial challenges that might otherwise put homeownership out of reach. As Rick Sharga, Founder and CEO at CJ Patrick Company, explains:

“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.”

You may even find it helps with quality of life. With longer commutes and work travel, home life can become easier to manage with extended family. You can also typically afford a bigger home than you would have been able to on your own. So, if you need more room, but can’t afford it with today’s rates and prices, this could be an option to still get the space you need.

LIVING TOGETHER MEANS more common resources, more people who can take care of little ones, sharing cooking chores and so many more benefits. On top of the financial benefits, it could also bring your family closer together and strengthen your bonds by getting more quality time together.

Bottom Line

If you’re considering a move, buying a multi-generational home might be worth exploring – especially if your budget is stretched too thin on your own. Today, there's many great formats to live comfortably with a larger family: walk-out basements, 1.5 story, duplex, and ADU (accessory dwelling unit) can be flexible floor plans to live independently together.

Contact us for more info and builders who can help you convert your home and/or buy a home that can work for your (entire) family.

Sources: Keeping Current Matters and Compass photography.