Moving out of your parentsâ home has long been considered the ultimate rite of passage into full-fledged adulthood.
But todayâs young adults are more likely to live in a parentâs household âÂ and to live with their parents for a longer period, according to the Pew Research Center. A range of potential explanations has been offered for this generationâs âfailure to launch,â from a desire to prolong adolescence to an aversion to marriage and commitment.
While these factors might play some role, the reality for most adults ages 25 to 40 living with their parents is that they lack the money to move out and establish their own households. Some might be unemployed and looking for work, while some have left the labor force altogether. Other young adults have their own children and live with parents out of a need for child care and support.
MagnifyMoney wanted to find out where U.S. adults are most likely to still be living with their parents, and what factors could be holding them back from leaving the nest.
We surveyed the 50 largest metros in America to identify the largest portion of adults ages 25 to 40 living with their parents along with some other statistics about them. We excluded people in this age group who identified themselves as active students.
The list is ranked strictly on the percentage of adults aged 25 to 40 who live with their parents. To inform our findings, we also present the following information for this same population (which did not affect rankings). We excluded anyone from the analysis who was identified as a student.
In the 10 cities with the largest shares of young adults ages 25 to 40 living in their parentsâ homes, eight were split between two regions: the South and the Northeast. In the South, more adults live with parents in Miami, San Antonio, New Orleans and Orlando, Fla. The four top cities in the Northeast include New York, Philadelphia, Providence, R.I. and Baltimore.
Here are some other highlights of these 10 cities with the highest portions of adults (ages 25 to 40) living with parents:
Then there are the cities where fewer adults (ages 25 to 40) are living with their parents, and are more likely to be living on their own. Four of these cities are located in the Midwest: Minneapolis, Indianapolis, Kansas City, Mo. and Columbus, Ohio. The South and West are also well represented in this list. In each region, there are three cities where these adults are less likely to be living in their parentsâ homes.
Here is a closer look at other metrics that can inform these top 10 cities and their low rates of adults living with parents:
Our rankings surveyed the 50 most populous metro areas in the U.S. to find the proportion of adults (ages 25 to 40) living with their parents for each. See the table below for the full rankings for all 50 cities, along with key statistics on local adults who live with their parents.
Most adults living with parents hope to eventually move out on their own. If thatâs you, careful planning can help you prep your finances, pay down debt and save enough money to make this happen sooner.
Here are some specific steps to take while youâre living with your parents to get financially healthy and launch your solo stage of life.
If youâre hoping to move out, youâll have to deal with your debt first. The monthly payments on debt can be a burden that makes it harder to afford to live on your own.
Living at home is the perfect time to make extra payments toward debt and pay off some balances. Target your high-interest debt first, such as credit cards â these balances will cost you the most to carry from month to month.
Paying down debt is a great start, but your payoff date might still be years away while youâre hoping to move out much sooner. In these cases, you could refinance or consolidate debt to adjust your monthly payments or even secure a lower interest rate. Here are some options worth looking into:
Unemployment, underemployment or exiting the labor force are among the biggest reasons adults live with their parents â and canât move out. The only way to find your next gig is to apply, so keep your hopes and efforts up.
Applying for jobs can be tough, however, especially if youâre met with rejections. If your efforts seem to be going nowhere, see what you can do to make yourself a more attractive job candidate. Read up on job-seeking advice and ask for feedback from mentors or potential employers to improve your resume and prep for your next opportunity.
On top of actively seeking new or better employment, you can also consider picking up a side hustle or part-time job. This can help you develop new skills, build a portfolio and avoid a gap in employment â all while earning additional income and keeping money coming in.
Living with parents isnât always easy, but it comes with one major perk: low costs. Most adults who live with parents do so to benefit from either sharing living costs or skipping typical bills such as rent, groceries or utilities.
This lack of costs leaves more of your money available to tackle other financial goals. You can start building your move-out fund, saving for expenses like a deposit on an apartment and purchasing furnishings for your own place. Having an emergency fund in place before moving out can also be a wise move. Or you can use savings from living at home to pay down student loans or other debt.
Whatever your goal, set your sights and start using your freed-up funds to work toward it.
Analysts used 2017 American Community Census microdata hosted on IPUMS to calculate the following percentages for people aged 25 to 40 and who did not identify as students: 1) Percentage who live in the same household with at least one of their parents. For those who both do and do not live with their parents, we separately calculated: 1) Percentage who live with their own children, 2) percentage who are unemployed, 3) percentage who are not part of the labor force, 4) percentage who are men, 5) percentage who are women.
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