It's currently that way in Hawaii. It's not uncommon to find 3 to 4 br homes turned into 9 rooms and up. Ohana or families in Hawaii are very close and share homes to cut down on the expensive costs of homes there by living together.

Possibly but I think we are about to witness a big downturn in the housing market as well which could go two ways on the issue. First time buyers may find getting mortgages harder but prices will fall. Will be interesting to see what happens. Also combine this with a more volatile and mobile labour market. I think people will have to be far more mobile in order to find employment which may go against your hypothesis. However I am playing devil's advocate. I don't really know the answer, there are alot of variables which are involved that are too unpredictable. Good question.

A couple of years ago, the Atlantic Monthly had article called The Coming Death Shortage: http://www.theatlantic.com/doc/200505/mann2 To give the Reader's Digest summary, human institutions and culture are built upon the hidden assumption (and until recently, an ironclad fact) that old people die and pass their accumulated wealth to the next generation. As older people live longer and longer, this process is slowing down and causing disruptions in how we expect society to function. One very likely outcome of this could be that extended families start sharing housing. After all, if the older generations don't die, they still need their homes. This means fewer houses available for younger people. Since these younger people are also not inheriting capital from their ancestors, they do not have the money to buy any of the now-more-expensive homes. Where are they going to live? We could already be seeing the first effects of this.... http://www.time.com/time/magazine/article/0,9171,1018089,00.html Good question!

No, I don't think it will go that far. In fact, I think that part of the reason for rising costs is actually the opposite trend. As marriages break up faster, and more people never marry, the number of households is rising faster than the population, because more of those households are single people. Rising prices will, to some extent, strangle that tendency - both the cost of separation and the benefits of living together will rise, and this damp the demand for new houses. To exaggerate grossly, 100 houses and 101 households leads to inexorably rising prices as that last homeless household buds anything to get a roof over is head.100 houses and 99 households leads to inexorably falling prices as the owner of the empty hose drops the price to get an unperforming asset off his hands. If every household simply doubled up - every single person shacked up with a partner, every couple pulled in one pair of parents etc., the demand for housing would be halved and house prices would crash It is actually the demand for individual freedom which is pushing prices up. Well paid yuppies can afford two homes even when they are in a relationship, so that each has a "home" to go to when partner gets a bit too much.

Interesting question. I think it well could be headed in that direction. I say interesting because Chinese society seems to be moving in the other direction..away from the traditional extended family and it is creating tremendous hardships on the older generations.

In my neighborhood, with the large influx of Bosnian immigrants (the largest number in the country here in St. Louis) we already see this. Many households in my neighborhood are related to each other. The ones next door are actually "illegal" in the amount of people allowed by city ordinance in one household. at least 3 generations next door.

The way things are today and as long as you can stand each other, I believe that's nearly the only way to go!

Yes. I already see it happening. I know people that live that way. I am not surprised if someday my in-laws will live with me. It makes financial sense and provides the benefits of my future children getting to know their grandparents. I will also benefit from the counsel of two people who have lived life a lot longer then I have and will help me avoid problems.

It is happening now in my family. It makes sense financially on lots of levels, and the emotional support of family is priceless.

I'd absolutely LOVE that! It'd be a party every day.

It could. However, I suspect resistance to the idea will be strong. I think that is an "old fashioned" way of doing things that is better than the far flung, disconnected way we do it now. Yes, it's "easier" to not have to deal with some relatives but the community and continuity of life is lost when the generations don't intermingle in daily life. I think it would be good for the kids, even if it was crazy-making for the adults :)