That spare room on the main floor.

The finished basement with a kitchenette and its own entrance.

The bonus room you’ve been using for storage.

To you, it’s extra space.

But to a growing pool of buyers, it’s the reason they’d pick your house.

Here’s why.

Multi-generational homebuying is on the rise.

Millions of Families Are Living Multi-Generationally

The number of multi-generational households is climbing.

That’s when 3 or more generations live under one roof.

And data shows those households grew from 3.2 million to almost 4 million between 2014 and 2024, according to Realtor.com.

And each year, more people are shopping for a larger home that fits their combined needs.

While the appetite for this type of house is rising across the board, data from USAFacts shows multi-generational living is more common in some states than others.

The darker the state in the map below, the more common it is in that area (see map below):

Where does your state fall?

Depending on where you are, the pool of buyers looking for a house like yours could be even bigger than you’d think.

But the overall bottom line is this.

There’s a real market out there for larger homes with room for multiple generations under one roof, especially since affordability is still so tight.

And if you own a house like that, it’s in demand.

Multi-Generational Houses Sell at a Premium

And that extra room carries real value with the right buyer.

According to Realtor.com, in 2025 the median asking price for a multi-generational house was $709,000 – roughly 65% higher than the $429,900 median for a standard house.

Some of that is simply size.

But compare multi-generational homes to regular homes with the same amount of square footage, and they still come out on top – $262 per square foot versus $215.

That’s a 22% premium you could command for special features like in-law suites, second kitchens, and separate entries (see graph below):

When you sell, this could help you walk away with more money in your pocket, especially when your agent highlights your home’s multi-generational-friendly features in your listing.

And Buyers Aren’t Getting Sticker Shock

And even with slightly higher price tags, buyers aren’t flinching.

Multi-generational houses drew 13.5% more online views than standard ones, and they still sold just as fast – in about 59 days – per the same Realtor.com report.

Hannah Jones, Senior Economic Research Analyst at Realtor.com, explains:

“The strong demand and steep premiums we are seeing in inventory-constrained markets point to a real mismatch between what buyers are looking for and what is actually available. For sellers in these markets, this type of home can be a significant asset.”

Basically, when buyers want something that’s very specific, the house that checks the box tends to stand out.

Bottom Line

Your multi-generational-friendly, or simply larger-than-average, house might meet criteria a lot of buyers can't find in a standard one.

That's what gets attention.

And offers.

So, talk to a local real estate agent about what it could get you in your market right now.