Guide to Co-Living Spaces 

What is co-living, and why is it popular? Here is everything you need to know about co-living, including information on benefits and local regulations. 

Co-living is a modern shared housing arrangement that accommodates three or more unrelated people living in a shared dwelling unit. Co-living spaces have become popular in recent years due to their affordability and easy access to social interaction. 

Even though co-living is most prevalent in major cities, it has become an ideal housing alternative for many people in the country looking for more than a traditional apartment or another living arrangement. 

Cities such as Raleigh, North Carolina, even offer co-living options through co-living buildings and apartments. As the movement grows, more co-living spaces are becoming available to the public across the country. 

Learn everything you need to know about co-living and why it is trending now. 

1. What is Co-Living? 

Co-living is a relatively new term for a living environment where someone rents a room within a communal property and shares space with others. This type of living arrangement makes it easy to find an affordable place to live, and it is often focused on community and convenience. 

Co-living can take many forms but is often found in urban areas with high housing costs. Although co-living has been around for centuries, it has recently started gaining popularity in Silicon Valley and other large cities because it offers a cheap place for entrepreneurs and tech industry workers. 

From single-family homes to apartment units, most co-living spaces include short-term or flexible lease agreements, furnished common areas, shared utility costs, and amenity responsibilities, often appealing perks to single young professionals. This communal living model encourages conversation, leads residents to form relationships, and builds a community that supports one another. 

Most co-living spaces feature small private living spaces for each resident but shared common areas, including bathrooms, living areas, kitchens, dining rooms, and any outdoor spaces, including patios and porches. 

2. Who is Co-Living For? 

Co-living is for everyone but mostly appeals to young professionals and students. Due to its flexible lease terms, affordable pricing, and ability to quickly build a social network, co-living can be a great stepping stone before transitioning into independent living. 

Single young professionals who are busy focusing on their careers flourish in co-living environments since they provide social interaction and the ability to save money while renting. College students also enjoy co-living for its shared common spaces, utilities, and Wi-Fi access. 

Digital nomads who work remotely, young couples looking to establish a home, and relocators also tend to be good co-living candidates since it allows people to explore different locations and meet new friends quickly without the pressure to purchase a home immediately. 

Co-living is considered an innovative housing solution and is a sought-after living arrangement for individuals who want to live with other like-minded people who share similar values, interests, and intentions. 

Unlike traditional housing options, co-living eliminates isolation and loneliness and replaces it with a culture centered around sharing, community, and support. While it may not be as popular among families with children, co-living is offered for families where members share childcare duties and support each other while raising kids. 

3. Benefits of Co-Living 

Co-living offers many benefits, and because of these benefits, more and more people are choosing to live in co-living accommodations. The first benefit is its affordability. Rental prices in co-living spaces are typically cheaper than standard apartment units due to shared common spaces. This affordability is a massive draw for individuals living in big cities with high housing costs. These lower housing costs create more housing opportunities in high-demand cities and growing urban areas. 

The communal spaces that co-living offers are also considered benefits since they provide ways for residents to interact with one another. These common co-living spaces include shared kitchens, gyms, and lounge areas. Co-living spaces often offer cleaning services, child care services, community events, and exercise classes, further encouraging community and bonding opportunities.

Another main reason people choose co-living environments is the sense of community it provides. Today, nearly one in four adults feel lonely, with 27% of young adults ages 19 through 29 reporting feeling lonely or very lonely. Single individuals and people relocating to new areas may particularly benefit from co-living since it provides opportunities to socialize and build friendships all within the comfort of home. 

Co-living is also known for its flexibility, which is excellent for individuals working remotely or wanting to explore new locations. Unlike traditional long-term leases, co-living provides flexible lease terms and often comes fully furnished, allowing residents to move in and out easily. 

Reduced energy consumption and waste through shared facilities also make co-living an environmentally friendly housing option. Often located near public transportation hubs and its overall promotion of shared amenities and resources, including goods and appliances, make an environmentally friendly choice for residents over traditional housing options. 

4. Reasons For Housing Flexibility 

Housing flexibility is becoming increasingly desired, especially among young professionals and single adults, because it allows individuals to easily adjust their housing situation based on lifestyle shifts and career changes. In America, about 27% of the workforce works remotely, and by 2025, it is predicted that up to 36.2 million Americans will be working remotely. 

Many people choose co-living arrangements for the top reasons: digital nomads who need flexible working space and the desire to move between different locations without being tied down to one area due to a long-term lease agreement. Housing flexibility allows individuals to adjust their living space based on current needs, desires, and circumstances. 

Flexible living is also important to consider from a financial standpoint. Changing market conditions may require individuals to downsize and search for more affordable housing. Unlike traditional housing methods, co-living is the most flexible solution as people age and their needs change. 

5. Co-Living in Raleigh Regulations 

Co-living is a growing movement in Raleigh, but specific regulations and standards apply to those interested in this housing arrangement. The square footage of private individual rooms is typically smaller than a studio apartment, and no more than two individuals may occupy private rooms. 

In Raleigh, the closest definition to co-living is that of a Boardinghouse, which is listed in the Unified Development Ordinance Section 6.2.2.B. A recent proposal will rename the existing Boardinghouse to Co-Living and will be held to the following standards: 

1. The maximum number of occupants is limited to six. 
2. The facility was initially constructed as a detached house for single-unit living. 
3. Exterior advertising is prohibited except for one unlit sign no bigger than two square feet. 
4. No co-living space can be located within 1,200 feet of another co-living space. 
5. The gross floor area requirement is at least 250 square feet per one-person and 500 square feet per two-person sleeping area. 
6. The minimum tenant rental period exceeds 30 days. 
7. Cooking facilities are not allowed in rented rooms and must be available in shared spaces. 
8. The co-living space needs to comply with the City's Housing Code. 

6. Co-Living Tips 

If you have decided that co-living is for you, it is essential to understand the basics to ensure a successful transition from your current housing situation to a thriving co-living community. Here are some co-living tips and tricks to follow: 

Similar to having roommates, it is crucial to respect your co-living community members by cleaning up after yourself and following the rules. Most co-living spaces have quiet hours, which means no loud phone calls, gatherings, or media streaming during these hours, which can wake someone up and ruin someone's sleep. 

It is always a good idea to display the rules in a common area for everyone to see and to discuss rules and expectations when new members move in. Having clear rules and guidelines will lead to a happier and healthier co-living community. 

7. The Future of Co-Living 

Co-living is a modern lifestyle trend that is expected to continue growing in popularity. What was once considered a unique living option is now a common housing situation for many Americans. By embracing emerging trends, co-living is expected to evolve into a well-known lifestyle in urban communities that prioritizes connection, collaboration, and sustainability. 

There are 20% more co-living spaces now than there were in 2020, and the market is estimated to reach $9 billion by 2025. Offering innovative solutions to urban housing challenges, the demand for co-living stems from rising housing costs and student loan debt. 

Several trends are emerging in co-living spaces and are expected to continue to shape the co-living model. The integration of technology and smart home features is expected to become an integral part of the co-living experience, as seen through automated security systems, personalized climate control, and the ability to manage shared resources among residents. The addition of technology increases productivity, enhances convenience, and allows for seamless communication among residents. 

Sustainability is also expected to become a primary focus in many co-living spaces, emphasizing environmentally friendly housing designs and practices. The demand for sustainable living practices is on the rise, including the implementation of renewable energy sources, waste reduction strategies, and green building materials. Some co-living spaces are introducing community gardens and bike rentals to achieve this. 

Another trend in co-living spaces is communities focused on health and wellness. Co-living itself does a great job of encouraging residents to connect and build relationships with others. However, offering wellness classes and mental health workshops is becoming increasingly popular to unite the community and inspire healthy living. 

FAQs 

What is the difference between co-living and roommates? 

While both involve sharing living space with others, co-living offers a community-centric environment with individual and separate lease terms. On the other hand, roommates share one lease and tend to have more personal space and control in their interactions with the people they live with. 

What are the downsides of co-living? 

Co-living has many pros and cons, but its downsides include limited privacy, less control over living spaces, limited autonomy, an increased chance of conflict, and often few short-term options. 

What is the difference between HMO and co-living? 

An HMO stands for a house in multiple occupations. It is a home with at least three tenants who share one household and basic amenities. While similar to a co-living space, HMOs typically have a fixed lease term and are focused on the physical structure of a house rather than community building. 

Methodology 

Data and information were sourced from the City of Raleigh, Newsweek, LinkedIn, MIT Sloan, the US Career Institute, and Coliving to determine what co-living is and why it is so popular. 

The Ultimate Guide to Co-Living - Final Thoughts 

Co-living is an excellent solution for individuals looking for freedom and socialization. Offering the ability to live, work, play, and relax together, it is no wonder that co-living spaces are popular nationwide. The future of co-living is bright, and many trends are on the rise that are inspiring more people to join the movement. 

If you are considering a move to Raleigh, the city has many beautiful homes for sale and up-and-coming communities. The experts at Raleigh Realty are here to help you find your dream home in the Triangle area. Reach out to our team of experienced and knowledgeable real estate agents to get started.