The website www.pewresearch.org defines Millennials as young adults ages 18 to 34. In an article from Pew Research dated January 16, 2015, they projected the Millennial generation to surpass the Baby Boomers as the largest living generation. In order for the real estate market to remain healthy, we need for these young adults to buy homes and establish their own households.
However, the research suggests that the percentage of Millennials living with their parents increased from 24% in 2010 to 26% in the first quarter of 2015. Richard Fry, a senior analyst at Pew Research went on to say that this pattern is not a result of an increase in the unemployment rate. In fact, the unemployment rate in 2010 was 12.4% versus a 7.7% rate thus far in 2015. Fry isn’t exactly sure why Millennials are moving back in with Mom and Dad instead of buying homes, but he believes it could be a result of high student loan and other debts. Fry also thinks it’s now acceptable and even cool for adults in their 20’s to move back home.