Why Multigenerational Homebuying Is Surging

Multigenerational homebuying in the U.S. has reached a record high. According to the National Association of Realtors (NAR), 17% of all homebuyers purchased multigenerational homes between July 2023 and June 2024—the highest share ever recorded.

This trend reflects a significant shift in how Americans approach homeownership, driven by economic, cultural, and social factors.

1. Economic Pressures and Cost Savings

   Rising home prices and mortgage rates have made homeownership more challenging. Pooling resources across generations allows families to afford larger or better-located homes. NAR reports that 36% of multigenerational homebuyers cited cost savings as a primary reason for their purchase.

2. Family Support and Caregiving

   Multigenerational living facilitates caregiving for both aging parents and young children. NAR found that 25% of buyers purchased multigenerational homes to care for aging parents. Additionally, Pew Research Center reports that 40% of adults in multigenerational households cite financial issues as a major reason for their living arrangement.

3. Cultural Traditions and Demographic Shifts

   In many cultures, multigenerational living is customary. As the U.S. becomes more diverse, these traditions influence housing choices. Pew Research Center notes that multigenerational living is more common among Asian, Hispanic, and Black families.

4. Delayed Milestones Among Younger Adults

   Economic challenges have led many young adults to delay moving out. In 2023, about 42% of Americans aged 18 to 30 lived with at least one parent, reflecting ongoing financial and social constraints.

5. Home Design Trends Accommodating Multiple Generations

   Builders are responding by designing homes with features like dual master suites, private entrances, and separate living quarters. Architectural Digest highlights the importance of designing for both independence and connection in multigenerational homes.

Conclusion

Multigenerational homebuying is more than a passing trend—it’s a strategic response to rising housing costs, caregiving demands, and cultural values. As families seek more affordable and connected ways to live, this housing model is likely to become even more mainstream.

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