A family in which it is acceptable to be naked.
Person 1: "I grew up in a naked house, I leave the bathroom door open and walk around with no pants."
Person 2: "Gross."
A house where a woman walks around in front of men naked and a lot of men hang around on the couch ect. so they can see her and hoping she will let them have sex with her. The woman often does it for her ego to see how hot they think she is and to attract men ect.
Kathy's running a naked house.