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Just kidding...
I both expect that the only possibility is you asking Steam support and that such is not a realistic possibility either, with them just providing some useless copy/paste answer. Sorry, no idea.
There is a bug with the Family BETA if a account has not bought anything in a long time and /or did not use a payment method registered in that region that the Family BETA cant read their store region and gives you a "not in the same region" error.
At the moment the only way to fix that is to buy something on those accounts in the store with a external payment method like PayPal or credit card to correctly "lock in" the store region.
Again, this only applies to accounts that have not bought anything in a LONG time, like years.
Just buy something cheap for 50 cent or so, just to confirm if its the reason why its not working.
I'm trying to join a friend's family and it doesn't work, I just bought a 50 cent game and it still gives me the same error, I don't know what I can do
So wait, if I'm the family leader, I need to login to the other person's account and buy something from there? Do I have to do it from my own PC? I'm trying to get family sharing to work with an account I just created for my brother (no purchase history) and it's telling me my brother's account is ineligible to join because Steam can't verify we are in the same household despite both living in the same household.