Living With Relatives

According to the Pew Research Center, a quarter of all adults ages 25 to 34 now live in a multigenerational living situation (which it defines as a household with two or more adult generations). It’s a number that’s been creeping upward since the early ‘70s but has swung up precipitously in the last 15 years. From 2010 to 2020, there was a nearly 18 percent increase in the number of multigenerational households. The research arm of the apartment listing and resident services company RentCafe went granular on Gen Z and found that 68 percent over the age of 18 still live with a parent or parents. As for millennials, 20 percent are back with mom and/or dad (or just never left). When Pew recently surveyed people living in multigenerational homes, more of them said financial issues drove the decision to move in with family than any other reason. “Whether it’s to be able to save the money to buy a home, to be able to go back for a master’s degree or to be able to do something to further their ability as independent adults,” said Donna Butts, executive director of Generations United, a nonprofit that researches and advocates for multigenerational households.

Major macro disruptions — financial or otherwise — often lead to spikes in multigenerational living: “We’ve seen the largest increases when our country has had a recession or a housing bust and then Covid,” Butts said. “But what people are surprised by is they always think that the numbers are going to decrease again.” The census found that there was a dip in younger adults living with parents after a spike at the height of the pandemic. But the dip was pretty shallow. Which means many people moved in and just never left. One more reason multigenerational housing is on the rise: America is getting less white. Hispanic and Asian people, especially if they are immigrants, are more likely to live with extended family. Black families are also traditionally more open to these arrangements. In many cultures around the world, multigenerational living — at least until marriage, and often even after — is the norm, not the exception.

Source: The Mortgage Bankers Association