It's more a case of space. In game there is 2 kids rooms that are filled with all 10 of Victoria's kids. While the smaller spare room can be used for the Niece, once shes pregnant their isnt space for her or her kids. Victoria isnt mad at her Niece in this scenery, shes pissed at MC for crossing this line (fucking the village girls is fine but her niece? That's family), so the Niece is treated more like a victim of her horny uncle.
The niece is less "kicked out" & more a practical reaction to the lack of space & if her brother (hyperthetically) came round it would be hard to explain. So she wants MC to find her a place to stay. I would imagine she is not happy about the Temple, but Niece would say she wants to stay there & convince Victoria to let her (let's be honest, issues are resolved pretty easily in this game
).
The Brownie/Hobb being a goblin-mouse old man thing would fill the role of babysitter/housekeeper (staying in the spare room) & MC ain't fucking it.
-I imagine it looking like a cross between Dobby (Harry Potter) & Thimbletack (Spiderwick).
They are just an excuse. The plot happens away from the city so we dont interact with them. We have had a Thug based plotline already, let's not re-hash that so soon lol.