Co-living is a place where culture meets talent, isolation is not an option and strangers become family. It challenges the traditional rental system to sharing the most intimate parts of life, food, space, and services. This study analyses co-living business models in Sweden with a focus on value creation, value configuration, value capture, market trends and regulations. The study utilises business model perspective as the theoretical and analytical framework and with the use of qualitative research as the main research design, the study conducts semi-structured interviews and webpage analysis for data collection that was analysed through thematic and cross -case analysis. The results collected from eight Swedish co-living companies indicate that co-living companies frame their value proposition according to the population segment they work with, and the company’s main target group shapes the business model of co-living companies. This study finds that the type of ownership model utilised, shapes and determines the co-living revenue stream and cost drivers. Also, empirical data shows that digitalizing management systems in co-living serves two primary purposes, one to enhance the safety and security in the house and two to enhance the level of efficient communication between tenant and landlord. However, the study finds that the degree of technology implementation varies between companies, mostly influenced by the target group chosen. The study highlights the most challenging regulations co-living companies are facing is navigating building specifications. Furthermore, the study makes recommendations on collaboration and dialogues with all involved parties to facilitate solutions on the how best co-living companies can navigate building specifications while learning and unlearning how they conduct their business.