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 delay the milestone of independent living.
Record High Numbers
In 2025, one-third of adults aged 25 to 35—amounting to 25.2 million people—resided with their parents. Of these, 70% were employed, and many held college degrees, underscoring that the trend is driven by housing affordability rather than job market weakness.
The national median asking rent is 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 Struggles for Young People
The data reflects how the US economy, especially since the pandemic, has been particularly challenging 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 deep economic difficulties, from finding a job to advancing in their careers.
Rapidly rising inflation recently hit a three-year high, wiping out a year’s worth of wage gains, according to Bureau of Labor Statistics data released last week. 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.
Implications for Wealth and Housing Market
While young people may save thousands by not paying rent, they may also delay first-time homeownership, a key driver of household wealth, Jones noted. The typical first-time buyer is now 40 years old.
This trend also affects parents, who may postpone retirement, downsize their homes, or reduce savings, Jones added.
Beyond personal implications, the increase in young adults living at home has worsened the housing market. Fewer participants in the starter home market reduces turnover, tightening an already limited supply and deepening affordability struggles.
Comparison to Historical Norms
Analysts at Realtor.com studied co-residence rates dating back to the early 2000s. If earlier patterns had persisted, 4.86 million fewer young adults would be living with their 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. We’re going from 27% to 28% to 33%.”
Employment rates among this age group have remained stable over decades, reinforcing that “this is really a housing story,” Jones said. “This isn’t that young adults don’t have jobs and have to move home. 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.”
