I can also definitely understand why some don't want to move anywhere and stay in their hometown, but life is about choices and priorities. If you want to work in the games industry, you will most likely have to move around from time to time at best, every year in the worst case scenario.
I was brought up moving around from city to city every 3 years or so, sometimes even from country to country. I know exactly what some of you are referring to here as something you (or others) do not want for their family, but on the contrary that is exactly what I would like for my family. It's all personal choices, and being a level designer or a biochemist has nothing to do with it.
On the topic of continuing on the mod scene after you've made it in the industry, I can definitely see where even the most hardcore designer will fade away from the community after a while. It takes its toll, and for every problem you encounter working on your own, you realize the games you've worked on bring a lot more to your career than anything you come up with yourself. So there really only is self motivation to keep you going, and we all know how that swings back and forth. Besides, having a balanced life overall is probably what will keep you from burning out entirely including at your job.
The 9-5 attitude is as respectable as anything else, and is commonly shared throughout all industries and all countries (that have 9-5....). At the same time, I would personally advise people that are typically looking for that kinda working hours to stay away from certain positions in the games industry, like the aforementioned producer.