Miami, Florida: A record number of young adults in the United States are living with their parents, according to new data from Realtor.com, as soaring housing costs make independent living increasingly unattainable.
Record Numbers Living at Home
In 2025, one-third of Americans aged 25 to 35—approximately 25.2 million people—resided with their parents. Among them, 70% were employed, and many held college degrees, indicating that the trend is driven by housing affordability rather than job market weakness.
The national median asking rent is now 18% higher than pre-pandemic levels, while the median home listing price has surged 34%, according to the real estate firm.
“Every adult still in a childhood bedroom is a household not formed, a lease unsigned, a starter home unpurchased,” said Hannah Jones, a senior economist at Realtor.com.
Economic Challenges for Young People
The data underscores how the post-pandemic economy has been particularly tough for young adults and recent graduates. Roughly 40% of recent graduates are underemployed, working jobs that do not require a degree. Since 2020, college graduates have faced higher unemployment rates than other workers, reversing a long-standing trend. Many young people report significant economic strain, from finding employment to advancing in their careers.
Rapidly rising inflation recently hit a three-year high, erasing a year’s worth of wage gains, according to the Bureau of Labor Statistics. Inflation jumped to 4.2% in May, fueled by surging oil prices linked to the Middle East conflict, further delaying the prospect of moving out for young adults.
Long-Term Implications
While living at home may save young people thousands in rent, it also delays first-time homeownership, a key driver of household wealth. The typical first-time buyer is now 40, Jones noted.
This trend also affects parents, who may need to postpone retirement, downsize later, or reduce savings, Jones added.
Beyond personal financial impacts, the increase in young adults living with parents has worsened the housing market’s supply crunch. Fewer participants in the starter home market reduces turnover, tightening supply and deepening affordability struggles, Jones explained.
Historical Comparison
Realtor.com analysts examined co-residence rates dating back to the early 2000s and found that if patterns from earlier decades had persisted, 4.86 million fewer young adults would be living with parents today.
“It’s not super surprising, just because we know what’s been going on with housing affordability,” said Jones. “But it is very striking when you compare it to the early 2000s and what the norms were. We’re going from 27% to 28% to 33%.”
Employment rates among this age group have remained stable over the past several decades, underscoring that “this is really a housing story,” Jones said.
“This isn’t that young adults don’t have jobs and have to move home,” she added. “It’s that they do have jobs and yet living at home is the most viable financial option for them … It’s not that these adults don’t have any means, it’s that they don’t have any opportunities.”
