Multigenerational homes: What it's like living in one

A multigenerational home is one with two or more adult generations living under the same roof. This kind of living arrangement is on the rise. In fact, recent data from Angi reveals that in 2025, 1 in 4 homeowners were living in multigenerational households. And per recent Census data, there were 6 million multigenerational homes in 2020, an uptick from 5.1 million in 2010.

Multigenerational living is seeing a comeback for several reasons: the high cost of living, rising student loan debt, and shifts in cultural norms. And, as the Boomer generation is aging and in need of caregiving, aging in place with loved ones can give them the comfort and care they need.

Considering a change in your living arrangement or curious to learn more? Keep reading to get your head around the ins and outs of multigenerational living, its pros and cons, and what to look for in shared housing.

What is a multigenerational home?

A multigenerational home can include grandparents, parents, and children. It can even extend to family members such as uncles, aunts, and cousins; and chosen family, such as close friends.

While the setup of a multigenerational home varies and depends on the needs and preferences of its inhabitants, common features can include shared common spaces with separate living quarters, separate entrances, or in-law suites, a freestanding accessory dwelling unit (ADU), or an add-on with private access.

Multigenerational living trends in the US

It's true, these days it's more likely you'll find adult children sharing a roof with their parents. Or, you might find middle-aged adults co-habiting with their parents to care for them, or grandparents who help with tending to the little ones in the family.

More folks are turning to multigenerational arrangements due to high housing costs, a surge in demand in care for the aging, and evolving cultural norms.

Let's take a deeper look at some of the more current statistics buzzing around multigenerational living in the country:

• 17% of home buyers bought a multigenerational home between July 2023 to June 2024 – a 14% increase from the year prior, per the National Association of REALTORS® (NAR).
• Per NAR, 21% of these households exist because their adult children (age 18+) are moving back home, and an additional 20% never left home.
• The number of people living in multigenerational homes as of 2021 more than quadrupled from 50 years ago (1971), per Pew Research.
• As of 2021, 18% of people live in a multigenerational home, more than double from 50 years ago, per Pew.
• Among young adults ages 25 to 29, a third (31%) live in multigenerational households, usually in their parents' home.
• Nearly four in 10 (37%) of young adult men ages 25 to 29 live with their adult relatives, as do 26% of women of the same age.
• Black, Hispanic, and Asian families are more likely to live with several generations under one roof.
• Because of pooled resources, there's a greater safety net should a member of a multigenerational household face financial strain.

Advantages of multigenerational living

There are a lot of advantages that come with multigenerational living. Let's look at some of them:

Financial benefits

Cost savings are a major perk of having multiple generations living under one roof.

By pooling financial resources, families can shave off dollars on the cost of housing and shared living expenses such as utility bills and groceries, which can be especially helpful for elderly parents and young adults. And should someone face financial hardship, this arrangement can help soften the blow.

This arrangement can help older folks avoid long-term facility or assisted living costs. In fact, according to the Federal Long Term Care Insurance Program, the average cost of a semi-private room in a nursing home is $112,420 a year.

Multigenerational living can also help with the hefty price of child care. According to the Economic Policy Institute, the average cost of childcare for a 4-year-old in California is $13,020 a year and $9,548 in Florida.

Emotional and social benefits

Beyond the financial considerations, there are emotional and social benefits of multigenerational living.

Having grandparents and their grandkids under the same roof can mean enhanced bonds and social connection between family members. There can also be positive impacts on mental health and overall social well-being.

A family meal or bonding activities can mean decreased loneliness among older household members. It can also foster the passing on of family legacies and traditions.

Caregiving benefits

Multigenerational living can also mean built-in caregiving. In the U.S., 25% of adults are caregivers. Further, 29% of members of the sandwich generation are caregivers and provide support for both aging parents and their children.

Instead of shuttling back and forth between separate homes, adults can care for their elderly parents or other relatives. In turn, it allows for older generations to age in place in the comfort of their homes

Challenges of living in a multigenerational home

Multigenerational living can also come with a handful of hurdles:

• Lack of privacy/living in close quarters. Having multiple generations under one roof can mean a loss alone time. It also means residing in close proximity to one another. This can lead to an increase in stress.
• Lifestyle differences. Imagine working from home while a toddler is banging on a toy drum set in the yard, or while an elderly parent is blasting the television. These differences in lifestyle or activities throughout the day can mean growing tension.
• Financial disagreements. Arguments can arise over how household expenses are shared. This can come up should there be a discrepancy in income, caregiving responsibilities, and household chores.
• Increased caregiving stress. In-home care means it may be harder to take a break should you face burnout – especially if you're caring for both elderly parents and children.

Key features to look for in multigenerational homes

The different features and setups families and friends can look for in multigenerational living depend on the unique situation, preferences, and budget, but here are some common, key highlights:

• In-law suites and accessory dwelling units. In-law suites and accessory dwelling units are residences on your property designed for relatives. These can be smaller structures that are either standalone or attached to the main house. For example, an ADU can be a converted garage or a cottage.
• Converted spaces. A finished basement or attic can provide a cozy space for family members – think a play area for children, or a private, comfortable, dwelling for grandparents to rest.
• Multiple primary suites. Having several primary suites with their own spacious bedrooms and attached bathrooms can make multigenerational living more comfortable. 
• Multifamily homes. Duplexes or triplexes on the same lot can make it easier for families to stay connected while giving space and privacy.
• Larger homes with shared living spaces and separate bedrooms. Deciding on a larger home with the intention of making it a multifamily home can mean you won't have to foot the cost for major upgrades and renovations later.

If you're thinking of purchasing a house for multigenerational living, you'll want to mull over whether it's best to invest in renovations to your current space or buy a new home altogether.

One major factor to consider is accessibility needs for aging parents. What changes would need to be made to facilitate ease of mobility and day-to-day living, and minimize falls and potential accidents?

You'll also want to fold in budgetary concerns. How much home can you afford? If renovations are on the horizon, what would they be and what would they cost?

The bottom line: Multigenerational living is rising in popularity

Multigenerational homes are gaining traction due to our economy, cost concerns, and the increase in need for caring for aging populations.

And while there can be financial, social and emotional advantages to multigenerational living, it's important to weigh the pros and cons to figure out if such a living arrangement is a good fit for you. Spend time looking at different options to determine what might be the right choice for you and your family.

If you're ready to start your search for a multigenerational home, you can start the mortgage application process with Rocket Mortgage.