When you are old maybe you don't need to live in a house that was made for a family? Or you can give your house to your children, and then let them pay your rent. They're already paying their own rent.
Sure, but the only thing available anywhere in your neighbourhood is big houses made for families.
That's the whole missing middle thing, there's luxury pied-à-terre sold to millionaires downtown, and then there's the endless stretch of large single-family houses in the suburbs.