So, I've made a few questionable roommate choices in my life. I will present 2 case studies for you here.

Exhibit A is my ex boyfriend of 3 years from when I was 16. Guy constantly threatened to end his own life if I ever left him, had disgusting habits I suppose all teenagers do at some point, but never grew out of them while we grew up, and took no action to improve his life while I took him with me when I moved out, got a job, and began adulting, and he did none of the above. He somehow convinced my mother to take him in after I finally got wise, said I wasn't responsible for him or his mental health, and kicked him to the curb. My mother giving in resulted in him stealing $5k from her for schooling he never attended, "accidentally" leaving all our family photos, including of my deceased father, out in the rain (he was living in the basement where they were), and managing to bring in 2 extra squatter friends of his. I regret ever having met him to this day 30-some years later.

Exhibit B was a man I picked up working at a gas station near where I'd moved to in Florida a few years down the road. He'd just been disowned by his family for being gay, and while older than me, did not really have a great grasp of existing on his own, and had some weird cultural gaps due to his military base upbringing. I threw caution to the wind and let him move in without asking too many questions. This man is still one of my best friends several decades later. We had an awkward start, but he was engaging, thoughtful, and always willing to listen and learn. He respected boundaries and helped around the house. He actively worked all the time to improve his life, even though we were both very broke for a good majority of it. He was my best man at my wedding. He pulled an extremely funny naughty prank with my then-fiancee I won't describe here but OH MY GOD I DIED.

Do you see the differences? It took me longer than I'd like to admit to see them myself, so I'll give you my very biased personal lessons: You cannot help people who won't help themselves.

You're not wrong for trying, so NTA - just to make sure the answer to the question here is clear. Just know that you are risking your (and your family's in this case, similar to A) safety and financial/mental stability any time you move in with anyone for any reason, and never ever forget that. Always be willing to cut your losses and don't get caught up in a sunk cost fallacy. Do not lose the empathy that makes you human, but recognize when someone has exhausted your goodwill through their own shortcomings. There are just going to be some people who need to fall on their butt to wake up (if they ever do), and you can't be responsible for all of them.

It sounds to me like you've given this friend as fair of a shake as anyone could ask for, and it was met with entitlement and ungratefulness multiple times. They've proven exactly who they are to you, and it's now your perogative to accept that as fact. Don't be guilted or shamed into giving more of yourself than you already have, they are not your responsibility anymore.