Could multi-generational homes be damaging the housing market?
Posted on Thursday, May 3, 2012 at 6:16:22 PM
At estimated 51.4 million people lived in multi-generational homes in 2009, almost 16.7 percent of the U.S. population. This jump was a significant increase from 2007, according to Forbes. Generation Y was hit hard by the recession and forced to live at home with mom and dad and find work with underpaying positions or unpaid internships.
"One reason young adults who are living with their parents may be relatively upbeat about their situation is that this has become such a widespread phenomenon. Among adults ages 25 to 34, 61 percent say they have friends or family members who have moved back in with their parents over the past few years because of economic conditions," The Pew Report states, according to Forbes.
With so many Americans in their 20s and 30s living at home, there has been a significant decline in home purchases. Due to limited professional growth, residential financing was out of reach for many people. However, the recent uptick in economic growth is showing an increase in job opportunities, and soon this generation may be out searching the housing market for affordable options.