Elizabeth: It was not clear whether it is your sister or your daughter that lives at a distance. The host has the privilege and responsibility of selecting the site of the event. If distance is a major factor, additional consideration should be given. The simple answer to your question is that as long as you have enough space to accommodate the attendees comfortably and the desire to do so, it is perfectly okay for the shower to be held at your residence. Good luck.
Good answer. However, if distance is not an issue for the bride, or the guests, the mother or aunt are too close a relative to host the bridal shower. There are regions where this is common. However, it is usually because of the distance everyone would have to travel to attend the shower. It is becoming more acceptable, but you would have to decide for yourself if you and your family should host the shower.