During the 19th century (1801-1900), most homes were multi-generational due to the American economy’s reliance on farming. Having parents, grandparents, and children living together meant there were more hands to help on the farm. Even when children moved out, at least one stayed in the home to one day inherit it.
In the 1900s, the population boomed made land prices rise and property harder to secure, so people started looking to the growing industrial sector for jobs. In 1935, the Social Security Act made it easier for elderly people to afford living alone. More programs introduced after World War II accelerated that, making it easier for the elderly to stay in their original homes, while even more young people were finding themselves in good positions to buy their own houses. This brought the number of multigenerational homes in the United States down to 12% of the total homes in existence.
However, around 1980 there was a change. Growing costs of living spurred a different outlook on multigenerational housing. Since then, multigenerational housing has been on the rise.
Of all the homes sold in 2020, an average 12% of them were households of 2 or more adult generations (the spring 2020 market saw that spike to 15%). 28% purchased a new home to accommodate adult children living at home. 25% purchased to accommodate aging parents. The most common age range of the purchaser was 41-55 years-old. This was followed by 75-95 year-olds.
One thing is for sure, the pandemic helped many families realize the value and benefits of living together. The multigenerational home trend is sure to not slow down anytime soon.
If you’re thinking about purchasing a larger home to accommodate multiple generations, we are happy to help! Give us a call at (910) 202-2546 or send us a message through our contact page.
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