Thursday, December 04, 2014

Why So Many 30-Year-Olds Live with Their Parents

The homeownership rate of young adults plunged after the Great Recession. How big a plunge? Among 30-year-olds, the homeownership rate fell by an astonishing 12.5 percentage points between 2006-07 and 2013, according to an analysis by the Federal Reserve Bank of New York. During those years, a growing share of 30-year-olds opted to live with their parents rather than independently.

Consequently, 30-year-olds today are almost as likely to live with their parents (31.5%) as they are to own a home (31.9%). What's behind this sorry state of affairs? The growing burden of student loans is largely responsible, concludes the NY Fed.

Source: Federal Reserve Bank of New York, Debt, Jobs, or Housing: What's Keeping Millennials at Home? 

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