Families within Chronicles of Elyria give players a supportive start in their new life. They'll provide you with a roof over your head, basic starting equipment, a map and hints about what kind of locations are nearby (notable landmarks, buildings etc) the option to learn from your parent's skills and, over time even inherit their land.
If you were looking to be a Blacksmith for example, then you could choose to join a family with a history of Blacksmithing.
After you've selected certain details, you'll be given a variety of starting locations within the world map, showing relevant families which you can join to start your life at.
The Character Creation Screen Reads:
"As a child I was raised by my Parents. Growing up I was an only child. I would often see my parents coming home covered in soot from the forge. My Parents were always very distant and had little money."
The bold text represents options the player can choose in order to change the type of families they are able to select from.