Why More Buyers Are Turning to Multi-Generational Homes – And Why It Might Be the Smart Move for You
In today’s real estate landscape, the concept of multi-generational living is gaining serious traction—and for good reason. Whether you're an investor looking to optimize ROI, a homeowner planning for long-term stability, or someone juggling both aging parents and adult children under one roof, this trend is worth a closer look.
According to the National Association of Realtors (NAR), a record-breaking 17% of homebuyers are purchasing homes specifically for multi-generational living. That’s the highest figure ever recorded. And the #1 driver? Affordability.
Why This Shift Is Happening Now
While caring for aging family members has traditionally been the main reason for multi-gen households, the game has changed. Today, 36% of buyers cite “cost savings” as the primary reason for buying a home that supports extended family living—a dramatic jump from just 15% in 2015.
Here in areas like San Francisco, Redding, and other high-demand neighborhoods across California, rising home prices and elevated mortgage rates continue to squeeze budgets. For many families, joining forces financially is becoming the smartest—and sometimes only—way to enter the market without compromising space, quality, or location.
The Investment Angle: Bigger Homes, Shared Costs
Pooling resources means more buying power. Instead of settling for a smaller starter home, multi-gen buyers often secure larger properties with better amenities and long-term value. This opens up options in premium neighborhoods or homes with ADUs (Accessory Dwelling Units)—a growing favorite among construction-savvy buyers and real estate investors.
Not only can multi-generational setups reduce per-person monthly costs (like mortgage payments, utilities, and maintenance), but they also set the stage for intergenerational wealth building. Think of it as a strategic co-investment that can pay dividends in equity and quality of life.
Real Estate Insights From the Ground
In our local markets, we’re seeing increased interest in homes with flexible layouts, dual kitchens, separate entrances, and in-law suites. These properties are hot commodities—not just for families looking to cohabitate, but also for savvy investors tapping into the short-term rental or duplex potential. With nearly 28% of buyers planning to explore multi-generational homes, it's clear this isn't just a passing trend—it's a smart response to the realities of today's market.
Bottom Line
If your current budget is tight or you're exploring long-term investment strategies, a multi-generational home could be the perfect fit. Whether you're supporting aging parents, helping adult children get a head start, or simply want to leverage real estate to build wealth—this approach deserves your consideration.
Let’s connect and explore available homes designed to support multi-gen living, increase your investment potential, and secure lasting value.
Ready to run the numbers? Let’s talk.
