kids are back home and showing no inclination to move
out on their own.
than five years after the end of the Great Recession,
18- to 34-year-olds seem to be comfortable with a
lifestyle that differs dramatically from the past. Even
though the job market has improved, millions more are
living with their parents now than during the depths of
study of U.S. census data by the Pew Research Center
shows 16.3 million millennials living at home, compared
to 13.4 million before the housing bust set off one of
the worst recessions since the Great Depression. About
26 percent of young adults are living with their
parents, according to Pew. In 2007, it was 22 percent.
When the job market was at its worst, 24 percent of
millennials were living with family.
put some economy watchers on edge, because they expected
a change by now.
the dreary days of the recession, it made sense for
young adults who needed a roof over their heads to stay
home while job opportunities were slim. But they were
expected to move out when they got jobs or better-paying
course, the job market still has a way to go to give
young adults better financial footing. Yet unemployment
is less of an issue now, with 7.7 percent of those 18 to
34 unemployed, compared to 12.4 percent five years ago.
Pay has also improved, although it hasnít popped back
to pre-recession levels. Pew notes that the median
weekly pay is $574 compared to $547 in 2012.
the trend continues, there could be serious implications
for the economy. Adult children curled up on their
parentsí couches donít need to buy their own
economist Richard Fry found no uptick in the number of
young adults establishing their households despite a 3
million spurt in the 18- to 34-year-old population since
may have important consequences for the nationís
housing market recovery," he said. "The
growing young adult population has not fueled demand for
housing units and the furnishings, telecom and cable
installations and other ancillary purchases that
accompany newly formed households."
wonder if thereís been a cultural shift that will
continue to restrain the economy.
research by Pew shows that millennials, unlike previous
generations, arenít in a hurry to get away from
parents. But other research also suggests that financial
reasons continue to draw young adults into their parentsí
have climbed sharply, rising 4.3 percent in major cities
in June, while the average hourly wage has climbed just
2 percent. Because they went to college in 2008 as the
recession trampled job opportunity, many young adults
are laden with student loan debt.
study by the New York Federal Reserve in June found that
areas of the country with high youth unemployment,
expensive housing and high incomes tend to be where more
young adults were living with parents.
the majority of people 18 to 34 are living
independently, although the tendency to be on their own
has been shrinking.
the first four months of 2015, 42.2 million 18- to
34-year-olds (67 percent of the group) were living
independently compared to 71 percent prior to the
recession. Women have been more likely to live
independently, 72 percent compared to 63 percent of men.
living with family members, millennials have also been
doubling up with roommates who are not spouses or
unmarried partners. Early this year, 47 percent were
living with another person, most often a parent or adult
relative. But 16 percent were living with a nonrelative,
apparently sharing expenses rather than stoking the
economy on their own.