In July of 2020 the percent of young adults, aged 18-29 years old, living with their parents reached an all-time high of 52%. Although the trend of young adults living at home has been increasing in the past few decades, with COVID-19, it has jumped an extra five percentage points.
As the chart below from Pew Research (1) indicates, at the turn of the 20th century, the percentage of young adults living at home was in the low 40% range as multi-generational homes were common. That percentage rose during the great depression as families had to further consolidate for economic reasons.
The post-World War II economic and building boom led to more young adults living on their own. That level remained near 30% for several decades and then started to increase, in part because more young adults were living at home during college years. In 2050 only 7% of had a college degree. That increased to 21% in 1990 and to 36% in 2019. (2)
Also, social norms began to change around 1990 with multi-generational homes losing their stigma.
A third reason that more young adults are living with their parents is the reduction in the number of middle-income jobs. Without a middle-income (or higher) job, it is financially difficult to live on your own.
Will young adults move out of their parents’ home after COVID-19? Perhaps not. Anecdotally I have heard that multi-generational homes are becoming more attractive to all age groups. Maybe this is another way that COVID-19 will have a lasting impact on society.