Most older adults in Europe prefer to age in their own homes, but this is not always possible or desirable due to factors like financial constraints, lack of support, or sudden life changes. Alternatives such as co-housing, naturally occurring retirement communities (NORCs), sheltered housing, and villages can provide effective options for independent living while fostering a sense of community. These community-based housing models allow for more autonomy compared to traditional care homes and enable residents to influence their living environments. However, the involvement of residents in shaping these housing options has not been thoroughly examined. This paper presents a conceptual framework to understand how older residents participate in co-producing community-based housing. It differentiates between community-led co-production, where residents have control, and community-oriented co-production, where residents provide input but are not in charge. By discussing this framework, the paper sets the stage for future research and offers insights for policymakers, practitioners, and housing providers on how to better incorporate resident roles in developing housing solutions for older adults.