MORE MULTIGENERATIONAL FAMILIES LIVING TOGETHER

REAL ESTATE TOPICS

Is your post-college 20-something still living in the basement? Why, yes. Yes, he is.

Driven by young adults, the share of Americans living in multi-generational households continues to climb, a new report released Thursday finds, a trend that accelerated during the recession but has extended beyond it.

A record 57 million Americans—or 18.1% of the population—lived in multi-generational households in 2012, according to an analysis of Census data by the Pew Research Center, a think tank. The rate, up from 17.8% in 2011, has been on a steady march upward since its post-World War 11 low in 1980, when just 12.1% of the population utilized these arrangements.

“After three decades of steady but measured growth, the arrangement of having multiple generations together under one roof spiked during the Great Recession of 2007-2009 and has kept on growing in the post-recession period, albeit at a slower pace,” Pew found.

The 2012 rate is still lower than it was in 1940, when one in four Americans lived in a multi-generational home. At that time, multigenerational households were driven by older people living with their children. But improvements in the health of elderly Americans, rising incomes and the establishment of Social Security and private pensions allowed more older people to live on their own.

In 1900, 57% of adults ages 65 and older lived in a multi-generational household. By 1980, it was just 17%.

Pew defines a multigenerational household as one with at least two adult generations, such as adult children and their parents. The definition also includes homes with a skipped generation, such as grandparents and their grandchildren.

The rising numbers are being driven by young adults, age 25 to 34. Nearly one in four young adults (23.6%) lived in these homes in 2012, more than double the 11% in 1980. That’s partly attributable to the poor economic circumstances of young people, Pew said, noting their large loss in employment during the recession.

Anecdotally, lots of people know people with adult children still at home. Pew puts it thusly: “The declining employment and wages of less-educated young adults may be undercutting their capacity to live independently of their parents.”

The report also pointed to a larger trend: the Millennial generation’s delayed entry into adulthood. This generation is marrying at older ages, staying in school longer and declining to affiliate with political parties or religious institutions. By those lights, it makes sense that these young people are still comfortable living in their childhood homes. It’s easier to live with your parents if you aren’t married or already a parent yourself.

The long-term increase in multigenerational households is also reflective of the growing portion of racial and ethnic minorities, who are generally more likely to live in these homes. Asian-Americans were the most likely of the country’s major racial groups to live in these households, at 27%. By contrast, the rate for non-Hispanic whites was just 14% in 2012.

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