Made a home out of necessity across the street (6)
I believe the answer is:
nested
'made a home' is the definition.
(I've seen this before)
'necessity across the street' is the wordplay.
'necessity' becomes 'need' ('need' can be a synonym of 'necessity').
'across' is an insertion indicator.
'the street' becomes 'st'.
'need' placed around 'st' is 'NESTED'.
'out of' is the link.
(Other definitions for nested that I've seen before include "Settled in cosily like bird" , "Inhabited an egg-laying place" , "built a dwelling out of bits of wood" , "Of bird, settled in to home" , "Settled in comfortably, snuggled up" .)