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Steam is currently testing the new Family Share system, "Steam Families" on the BETA client branch you can opt into from your client settings.
Basically in the new system you create a "Steam Family" and can invite up to 5 other users to it.
Its as easy as sending them an invite via Steam and if they accept they have joined. No more need to log into each others PC or such.
Everyone in the family shares all their games with everyone else in it.
There are also no longer any play restrictions in place, so you can all play games from the same shared library at the same time. No more " this library is in use".
Also you even can play Family Share games offline now.
Maybe give the Steam Family FAQ a read and set one up with your friend.
https://help.steampowered.com/en/faqs/view/054C-3167-DD7F-49D4
There are also some new restrictions with Steam Families so read through the guide carefully.