WASHINGTON (CBSDC)– Despite an improving economy over the last five years, more millennials are still living under the same roof as their families, according to new Pew Research Center analysis.
Researchers found that Americans between the ages of 18 and 34 are more likely to be living with their families today than they were during the Great Recession.
In the first quarter of 2015 about 42.2 million 18- to 34-year-olds were living independently from their families as opposed to the 42.7 million that were independent in 2007, before the recession began. In 2010, 69 percent of 18-to 34-year-olds were living independently. However, that statistic dropped to 67 percent during the first four months of 2015.
The unemployment rate for this same group of young adults has declined to 7.7 percent in the first third of 2015, a sharp decrease from the 12.4 percent of adults aged 18 to 34 who were unemployed in 2010.
The new findings indicate an increasing dependency of millennials on their families. Researchers also found that the number of young adults establishing their own households is no higher in 2015 (25 million) than it was before the 2007 recession (25.2 million).
The trend is present across the board for educated and less-educated young adults. Today, 86 percent of college-educated young adults live independently of their families, compared to 88 percent in 2010. When looking at 25- to 34-year-olds with no education beyond high school, there is a similar 2 percent point slide. Pew says this suggests that living arrangement trends are not being driven by labor market fortunes, considering educated young adults have enjoyed a stronger labor market recovery than less-educated adults.
Researchers note that the trend could have important implications for the nation’s housing market recovery efforts, as the young adult population is not fueling demand for housing units or the purchases that accompany newly formed households.