Multi-generational homes are becoming increasingly popular. According to Generations United, seven percent of Americans lived in multigenerational homes in 2011, but that percentage increased to 26 percent by 2021. Basically, that’s one in four of us who live with three or more generations of family.
This uptick can be attributed to many factors, most notably the last Great Recession 14 years ago that devastated the housing market (and another one on the way), coupled with the effects of the COVID-19 pandemic. As a result, families have been drawing financial support and strength from each other and have chosen to combine their resources and their living accommodations.
So whether your in-laws are coming to live with you or your grown children are coming back to roost with their small children, you may be considering buying a multigenerational home to accommodate all of you. As you would if you were buying a home as an individual, it’s important to partner with a qualified buyers’ agent to guide you through the process.
Purchasing a Home Together
Perhaps you have decided to move into a family member’s home or you’re looking for a new home to live in together to start out fresh. Whatever the case, buying a home as joint owners is pretty straightforward. In fact, it’s similar to purchasing a home as an individual. The big difference is that when applying for a mortgage, both sets of income and assets must be taken into account.
On one hand, you could qualify for a bigger, more expensive home when pooling your resources. But on the other hand, if one party is plagued with poor credit, the lender will consider the weakest link when determining risks, according to The Fool.
Multigenerational Living: Pros and Cons
While sharing a multigenerational home can be a wonderful way to spend more time with family, strengthen ties and reduce expenses, it’s not for everybody. Let’s take a look at the pros and cons.
Pros
- Close-knit family: A multigenerational household creates stronger family bonds across generations.
- Shared expenses = affordability: With more people living together, it stands to reason that shared expenses make everything more affordable, from food shopping to mortgage payments.
- Easier childcare care: It can be financially draining to find trustworthy childcare, so whenever grandparents can watch the kids, childcare bills and hassles can be reduced.
- Easier elder care: If you work from home, you may have the extra time and resources to care for your aging parents, again saving on costs and trying to find someone you trust to watch them.
Cons
- Lack of privacy: Privacy issues can be a big factor when blending households, leaving you feeling like you never have time for yourself.
- Lifestyle differences: Different generations who coexist in the same home can lead to clashes in lifestyles. Perhaps one family member is up very early in the morning to exercise, while another stays up late at night watching movies. These scheduling conflicts can become an issue over time.
- Financial concerns: While you may assume living with other family members will alleviate some of your financial stress, it can also have the opposite effect. Make sure all expenses are split fairly.
After carefully considering the pros and cons of buying a multigenerational home, you may still decide that this option is best for your family. That’s great news! We would like to help guide you in your journey.
Contact Berkshire Hathaway Premier Properties for Home for Sale in Houston
We’ve got plenty of skilled buyers’ agents who can help you find the perfect multigenerational home. Just contact Berkshire Hathaway Premier Properties at 713-862-0000.