Canadian families are increasingly opting for homes that house multiple generations. This choice often stems from financial benefits or the need for family support. Recent data reveals growing patterns, especially in regions like British Columbia, where housing costs influence these decisions.

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The Growing Trend of Multigenerational Households

Multigenerational homes include at least three generations from one family living together. In 2021, Canada recorded 441,750 such households, marking an 8.6 percent increase from 2016 and a 21.2 percent rise from 2001. By 2025, Statistics Canada reports show this trend accelerating, with 9.5 million Canadians now residing in either multigenerational or intergenerational setups. This figure includes 7.1 million people living with their adult children and 2.4 million living with three or more generations under one roof. This significant shift highlights a fundamental change in how Canadians define a "family home".

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Regional Hotspots and Economic Drivers

The prevalence of multigenerational living varies across Canada. Nunavut leads with 13.5 percent of households being multigenerational in 2021, partly due to high shelter costs. In Iqaluit, for example, nearly three-quarters of households are rentals, with rent consuming approximately half of principal residence expenditures. Provincially, Ontario and British Columbia, with their expensive housing markets, show the highest rates at 4.0 percent and 3.7 percent respectively. In early 2025, the average asking rent for a two-bedroom apartment reached $3,170 in Vancouver and $2,690 in Toronto, pushing families to pool resources and share living expenses [Source: Statistics Canada].

Cities like Brampton stand out with 14.3 percent of households being multigenerational in 2021, the highest rate among Canadian cities. Surrey (9.6 percent) and Markham (9.5 percent) follow closely. This concentration in urban centers underscores the practical and personal reasons driving the trend, including housing affordability challenges and the substantial savings on elder care and childcare. The average cost for a room in a retirement residence can exceed $4,000 per month, making shared homes a financially sustainable and emotionally supportive alternative.

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Cultural Roots and Family Dynamics

Cultural backgrounds play a significant role in the adoption of multigenerational living. Many immigrants to Canada come from countries where it is customary for several generations to share a household, often due to strong intergenerational ties and traditions of family support. In these contexts, the family environment is central to transmitting cultural norms, language, and customs to children. Census data indicates that immigrants are more likely than Canadian-born individuals to live in multigenerational households, with Canadian-born children who have at least one foreign-born parent being the most likely group to live in such arrangements.

In 2021, over half (52.7%) of people living in a multigenerational household were racialized, and two-fifths (40.5%) were born outside of Canada. These proportions are considerably higher than those for people living in other types of households, where 24.7% were racialized and 25.5% were born outside of Canada. Multigenerational living was most prevalent among people reporting an ethnic or cultural origin rooted in South Asia. For instance, over one-third of people with a Sikh (36.6%) or Punjabi (34.2%) ethnic or cultural origin lived in a multigenerational household. Proportions were also relatively high among people with a Tamil (21.7%), Pakistani (19.3%), Indian (19.0%), or Sri Lankan (18.7%) ethnic or cultural origin.

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Financial Benefits and Housing Choices

Multigenerational households often demonstrate greater financial stability. In 2020, only 4.3 percent of multigenerational households were living in low income, a stark contrast to the 30.2 percent for individuals living alone and 22.8 percent for single-mother households. For comparison, 5.8 percent of couples with children lived in low income during the same period. This financial resilience is a key motivator for many families choosing this living arrangement. When it comes to housing types, just over two-thirds (68.3 percent) of multigenerational households lived in a single-detached home in 2021. This rate is similar to that of couples with children and significantly higher than the 44.1 percent for one-parent families. This preference for single-family homes highlights the need for space and privacy within these extended family units.

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Government Support and Real Estate Implications

The Canadian government has recognized this growing trend and introduced initiatives to support it. In 2023, the multigenerational home renovation tax credit was launched to help families build secondary suites for seniors or adults with disabilities. This credit allows families to claim 15 percent of renovation expenses, up to a maximum of $7,500 per renovation. In its first year, 6,540 families received the credit, with the average amount totaling $4,120. Couple families, representing about half of all family units, accounted for approximately three-quarters of claimants.

For the real estate market in British Columbia, particularly in Kelowna and the Okanagan, this trend creates specific demands. Buyers are increasingly seeking properties with flexible layouts, legal secondary suites, in-law apartments, or laneway houses. These features allow for a balance of communal living and individual privacy, addressing the needs of multiple generations under one roof. Even properties with the potential for future additions, such as garden suites, are highly valued. Coldwell Banker Horizon Realty understands these evolving needs and specializes in helping families find homes that cater to the unique requirements of multigenerational living.

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Source: Statistics Canada