Is the wife obligated to host her husband's family in their shared home, especially if such hosting causes her psychological and familial problems and negatively impacts her relationship with her husband and children, knowing that the husband's family owns a nearby home and does not have an urgent need for permanent residence?

It is the wife's right to have a suitable, independent dwelling. It is not permissible for the husband to house any of his family members with her in a shared dwelling with common facilities, due to the potential harms and hardship involved.

The husband must fear Allah, treat his wife kindly, and provide her with an independent dwelling. He should not honor his parents and maintain kinship ties by wronging his wife.

The wife should be patient and understanding with her husband, using wisdom and gentleness.