25% of millennials live with their parents, but is that a bad thing?
Given the current economic conditions, it’s easy to see why.
- An estimated 1 in 8 millennials moved back in with their parents this year.
- Financial worries and rising rental costs helped fuel that trend.
- While living at home can have financial benefits, it can have its drawbacks.
Some parents struggle when their adult children move out of the house and are left with an empty nest. but new data from PropertyManagement.com reveals that fewer parents may be dealing with empty nest syndrome these days.
The reason? A growing number of young adults are choosing to move back in with their parents.
In fact, this year alone, 1 in 8 millennials returned home. And all told, a good 25% of millennials live with their parents.
Of course, it’s easy to see why so many young adults live under their parents’ roof. Living costs have skyrocketed in the past 18 months as inflation levels have risen. And therefore, many millennials have moved back home in an attempt to save money and avoid financial problems.
Then there is the increased cost of rent to consider. Higher home values and mortgage rates they have pushed many prospective buyers out of the real estate market in recent years. And that boosted demand for rents, paving the way for landlords to charge higher rents. And why would a young adult want to spend a small fortune on rent when there is a potentially free housing option available?
But while it’s easy to see why so many millennials choose to live at home, the question is, is that a good thing? To some extent, still. But there are pitfalls that those who return home can run into.
The good thing about coming home
Living with your parents for a period of time could give you the opportunity to save a lot of money. After all, if you’re not paying rent and your parents aren’t asking you to contribute to utilities, you can take the money you would have spent on those items and put it in your savings account However.
If you have debts, either in the form of credit card outstanding balance or loan, moving back in with your parents might also allow you to reduce that debt sooner. Plus, if you’re working remotely these days and don’t leave the house as often, you may appreciate sharing a home with other people who aren’t messy roommates.
The bad thing about coming home
For some people, coming home can feel like a failure in adulthood. This is not to say that if you move in with your parents, should it feels that way. But you could end up feeling bad about your situation, even though there is no reason to.
Also, when you share a living space with someone, there is always the chance that you may come into conflict. Your parents may have certain opinions about your career, your partner, and the things you do in your spare time. If you live under their roof, that gives them the right to express those opinions.
Finally, while moving back home may help you save money, it may also make it more difficult to build a credit history. Let’s say you recently graduated from college and decide to live with your parents for a year or two. If, during that time, you don’t have bills in your name, it might be difficult to establish a credit history, which you’ll need if you want to apply for a credit card, loan, or a place to live.
In all, there are pros and cons to living at home. But if the former outweigh the latter, then it might make sense to move in with your parents for a period of time, especially if you’re trying to build up savings or get back on your feet financially. And besides, it’s hard to beat the comfort of living in the home you grew up in. So if that’s an option, it’s easy to see why you might have a hard time giving it up.
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