The number of young adults living with their parents in the United States has reached 52 percent, at or near its all-time high, according to a new report.
The numbers are now at their highest point since the Great Depression as the coronavirus pandemic continues to have its devastating impact on the economy.
In July, the Pew Research Center survey found that more than half of young adults in the US live with one or both parents.
It notes that the change is also narrowing the racial divide, as more white young adults live with their parents than in previous decades.
In July, the Pew Research Center survey found that more than half of young adults in the U.S. live with one or both parents, an increase of 2.6 million people
The increase to 52 percent in the summer months is an eight-decade high
Pew looked at the Census Bureau to find that the current level of young adults with their parents is higher than any other movement and that most affects the youngest between the ages of 18 and 24.
The study defined a young adult as anyone between the ages of 18 and 29.
“ Before 2020, the highest measured value in the 1940 census was at the end of the Great Depression, when 48% of young adults lived with their parents, ” says the report, published Friday.
“The peak may have been higher during the worst of the Great Depression in the 1930s, but there is no data for that period.”
Between February and July, the number of young adults living with their parents increased by 2.6 million to 26.6 million.
That brought the total number of young adults at home from 47 percent to 52 percent, a high of eight decades.
For those in the 18-24 age group, the increase was even greater, from 63 percent living at home in February to 71 percent in July.
The number of households with 18 and 19 year olds also decreased by 1.9 million or 12 percent between February and July 2020.
“The number and proportion of young adults living with their parents grew across the board for all major racial and ethnic groups, men and women, and metropolitan and rural residents, as well as in all four major census regions,” says Pew.
Still, the increase also saw a narrowing racial divide, as white Americans accounted for two-thirds of the increase.
“In recent decades, white young adults have been less likely than their Asian, Black and Hispanic counterparts to live with their parents,” the report says.
“That gap has narrowed since February as the number of white young adults living with their mothers and / or fathers has grown more rapidly than other racial and ethnic groups.”
The Pew study is part of the changes that online real estate database Zillow has seen in recent months.
The change has narrowed the gap between whites and their Asian, black and Hispanic counterparts who live with their parents after the lockdowns.
The rise is astonishing and perhaps the highest point ever seen
In essence, we saw about a little over 3 million more people moving … with their parents or grandparents, a year ago. That’s about 9 percent more, ”said Cheryl Young, a senior economist at Zillow CNN.
“Much of that population that has moved home is young people, Gen Z, 18-25 year olds, and even some millennials,” Young added.
‘Gen Z in particular, I would say 75% of that group are tenants. With many young people not renting, not moving to cities as they normally would, a lot of inventory is coming to market. ‘
The study found that young people are more likely to be affected by the economic downturn and forced to leave their own place.
Shutdowns closed their workplaces and led to major layoffs. Others started working remotely, which was an extra incentive to move back in with their parents.
The number of unemployed people aged 18-24 was higher in July at 19.8 percent than in all other age groups. This was 18.3 percent among 20 to 24 year olds.
According to the Bureau of Labor Statistics, they were both up 34.3 percent and 25.7 percent in April.
The Pew study found that the number of 16- to 24-year-olds not attending school or in employment more than doubled to 28 percent in June from February, when it was 11 percent.
“For the most part, no one wants to live with mom and dad,” said Jeremy Sopko, CEO of Nations Lending Corporation, a mortgage lender. Huffington Post.
It’s a difficult situation exacerbated by the pandemic and it could take years, if not the best part of a decade, for the younger demographics to recover and be financially stable enough to leave home.
“Unfortunately, you currently have a slew of factors working against the younger demographics in this country,” Sopko added.
‘You have to take into account two huge factors: a huge debt burden on student loans and a lack of available work, especially in the areas of services, hospitality and the travel sector.
But for the boom in white Americans moving home, the decision was less economic and more of a lifestyle change.
“The relatively large increase in non-Hispanic white young adults living with parents compared to young adults of other racial and ethnic backgrounds was unexpected,” said Richard Fry, senior investigator on the study at Pew Research Center.
“Previous Pew research shows that the job losses due to the pandemic were less severe for whites.”
Brent Cohen, executive director of Generation Progress, a youth research and advocacy center, believes that remote work was the primary cause.
“For those who worked remotely, this was likely a short-term move so they weren’t alone in their apartment when social distance measures were taken,” Cohen said.
“But what was expected by many to take two to four weeks has now been extended for nearly six months.”
While the south saw the greatest increase, all regions saw an increase in the number of young people living with their parents.
The change was also similar in rural and urban areas.