Why millennials are moving back home

• The number of Americans aged 25–34 living at home has jumped over 87% in the past two decades, according to census data.

What's happening: Younger generations may be staying home to save on expenses like rent or a future down payment, says Adina Dragos, research analyst at RentCafe, an apartment search website.

• More young adults could also be choosing to care for family members, Dragos tells Axios.

What they're saying: Sharon Wilson's 29-year-old son and his wife live in her remodeled basement apartment in southern Minnesota.

• "The plan is for me to downsize and move downstairs, and they take over the upstairs" as they start a family, says Wilson, who tells Axios she's grateful to have family close after her husband died.

Commerce City, Colorado, parent Greg Francis has two Gen Z adults at home: a college student and a recent graduate.

• "He's way ahead of where I was at his age," Francis says of his older son, who pays a small rent but uses the bulk of his paychecks to pay down student debt and invest.
• The younger brother is staying home to avoid racking up student debt, and he'll continue living there after graduation.

Reality check: Plunging affordability hasn't stopped some millennials from buying homes, often with family help.

• Nearly 55% of millennials (those aged 27–42) owned a home in 2023, up from 52% in 2022, according to a new Redfin report.
• Meanwhile, adult Gen Zers' (those aged 19–26) homeownership rate stagnated at just over 26%.

What we're watching: Those who move out might find rent is a lot more expensive than it was a few years ago, even as price increases slowed last year.

• It's one reason why renters are feeling badly about their finances, according to the Axios Vibes survey by The Harris Poll.

Go deeper: Multigenerational living is up 1M households in last decade; here's which states