Key facts
- A record one-third of US adults aged 25-35, totaling 25.2 million people, lived with their parents in 2025.
A record one-third of US adults aged 25-35 lived with their parents in 2025, with high housing costs cited as the primary driver. This trend impacts household formation, homeownership, and retirement plans.
The increasing number of young adults living at home due to housing unaffordability signifies a significant shift in household formation and wealth-building opportunities, impacting the housing market, retirement planning, and the broader economy.
A record number of young adults in the United States are living with their parents, a trend driven primarily by soaring housing costs rather than labor market conditions. New data from Realtor.com indicates that in 2025, one-third of adults aged 25 to 35, totaling 25.2 million people, resided in their childhood homes. Of these individuals, 70% are employed, and many possess college degrees, underscoring that the decision to live at home is a financial necessity.
The real estate market has seen significant increases, with national median asking rents up 18% and home listing prices up 34% compared to pre-pandemic levels. This situation prevents many young adults from forming independent households, signing leases, or purchasing starter homes, pushing the typical age of a first-time home buyer to 40.
Beyond the personal financial implications, this trend has broader economic consequences. Parents may have to delay their retirement or downsize plans, and the lack of turnover in the starter home market exacerbates the existing affordable housing crisis for young people. Analysts note that if co-residence patterns from earlier decades had continued, 4.86 million fewer young adults would be living at home today.