Seventeen percent of homebuyers are now opting for multi-generational homes, which means they're purchasing houses with family members like parents, adult children, or even distant relatives. This figure is particularly significant because it represents the highest level ever recorded by the National Association of Realtors (NAR). So, what’s behind the recent increase in multi-generational living?

Key Advantages of Opting for a Multi-Generational Home

Homebuyers used to choose multi-generational homes mainly to provide care for their parents. While that’s still an important reason, there's a new factor driving this trend: affordability.

Recent data from NAR shows that more people are opting to live with family mainly to save on costs.

The increasing costs of homeownership are making it tough for many individuals to buy a home by themselves. As a result, more families are coming together to combine their resources and make home buying doable.

By pooling incomes and sharing costs such as the mortgage and utility bills, multi-generational living provides a practical solution to financial hurdles that may make homeownership seem unattainable. According to Rick Sharga, Founder and CEO at CJ Patrick Company:

““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.”
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— Rick Sharga, Founder and CEO at CJ Patrick Company

You might discover that it allows you to afford a larger home than you could manage on your own. So, if you're looking for more space but are struggling with current rates and prices, this could be a viable option to help you get the room you need.

Not only are there financial advantages, but it can also help your family grow closer and strengthen your relationships by giving you more quality time together.