As a parent, I would hope my children are not living live far from my house so that I can often drop in their residence to see them around.
As a child, I would hope I can live more independently with more freedom of having my own social network rather than often bothered by my relatives and family.
No sole rule that will fit all purposes but living close to your family may easily get support whenever you are indeed in need of help from your family.
@Willow
This is a good topic and I would like to hijack your theme to develop:
What is the drawback and benefit of living with one's own family?
Why do you not like to live with your family?
Why do you like to live with your family?