Multi-Generational Developments

Multi-generational developments are the better alternative to living under one roof for families

Today’s living habits show that people want to feel more connected to their families and be close enough to provide and receive the support that a family community shares. The downside however of multi-generational living is the potential friction among family members caused by the lack of privacy. An alternative to living under one roof is to introduce separate dwellings on one shared block of land .

Separate dwellings on one block provide privacy and caters to the different housing needs of each immediate family group. At the same time, members are still close enough to the extended family community to benefit from shared support & companionship.

For these reasons, many families are turning towards multi-generational developments. By consolidating affordability, community and resources, this type of project makes the “Great Australian Dream” achievable for the younger generations. Through pooling resources families are able to pick from more desirable locations closer to lifestyle, education & work or consolidate on a shared site to build a family haven. Multi-gen developments also offer a greater range of housing options to suit the varied needs of all family members. This more flexible definition of “multi-generational living” makes it possible to explore new ways of co-habitation.

With housing affordability at an all-time low and land becoming pricier, many have sought to create multi-generational developments out of the traditional quarter acre block (possible with less of course!). Instead of a single storey detached dwelling being home to one family, it’s possible to fit multiple families on the same block in newly built modern homes.

More than half of people in multi-generational arrangements do it due to financial reasons, while others do it for companionship.

Research shows about 1 in 5 people live in multi-generational housing arrangements in Australia, equating to 5 million people & the trend is on the rise.

Between 1957 and 2011 the number of multi-generational households has increased almost 60%, according to the ABS.

As the median house price inches past $1,022,927 (According to Domain House Price Report July 2021) in Victoria, the proportion of 20 to 34-year-olds living at home is set to increase. As many as one in four opt to stay with parents in order to save for a deposit, concentrate on their studies or get a leg up into the workforce. Multi-generational developments offer a better alternative to young families/adults than forever paying rent, struggling to move out of home or to gain a foothold on the property ladder. For established families, it allows them an option to give their adult children a leg-up and receive care while living close-by, through sharing resources.

For young families, living with retired parents is a more cost-effective way to provide care than a retirement home or other care facility. Older parents can ease the burden when it comes to childcare & after school care costs. Multi-generational living arrangements also foster relationships between the oldest and youngest members of a family, keeping a family better connected.

For the older generation it can mean being able to actively participate in their extended family lives, while retaining their independence. For many, multi-generational developments are a much better alternative than moving into aged-care accommodation or growing increasingly isolated and vulnerable as they age living alone.

The benefits of a Multi-Generational Development

Attractive alternative to huge mortgage. Provides shared & lower financial commitments. eg only purchasing a portion of the land and the construction cost of the unit.

Allows families to live in a suburb or property they couldn’t afford on their own through pooling resources.
Saving on the cost of care, ie. Child care, aged care
Companionship for all
Unlike traditional multigenerational living, separate homes avoid the drawbacks associated with living under one roof (lack of privacy, no sense of ownership & noise interference etc.). The arrangement also allows families to opt out individually should they wish to sell up & relocate.
Flexibility, one or more of the unit/townhouses can be sold or rented out to further reduce overall cost & expenditure if required.
Scope to share communal facilities – some multi-gen complexes provide shared facilities such as a pool, workshop, garage, storage area, laundry, edible garden or outdoor entertaining area.
Separate homes allow each family to customize & design their own as they require.

Stay tuned to our next post which will explore the different development typologies suitable for different family structures. We will also look at case studies of how multi-generational developments have helped clients to afford their own homes.

Living Together, Apart