Millennials grew up hearing stories of how their parents "walked uphill both ways in the snow" just to get to school. But according to a recent U.S. Census report, millennials may not have it so good. The report—which compared current 18-34-year-olds to their counterparts in 1975—found that approximately one-third of millennials still live at home because of the tough economy.
For the first time in over a century, living at home takes the cake as the most common living arrangement for this age demographic. In other words, it’s proving to be no walk in the park to establish financial independence as a young adult.
Curious how these trends affect traditional milestones? Let’s take a closer look. And for millennials who are preparing to fly the nest (or empty-nester parents looking to downsize), don’t forget to compare homeowners insurance rates before settling on the right coverage for your needs.
Emphasis on Education
Remember the popular playground chant "first comes love, then comes marriage, then comes baby in a baby carriage?" The lyrics would require a few tweaks to accurately sum up millennials these days.
As BBC reports, the U.S. Census survey found that "more than half of young Americans today say marrying and having children are not very important for becoming an adult." On the other hand, more than 60 percent said that finishing school is.
That’s not to say that young adults don’t plan on getting married; just that it’s more likely to happen later than it did for their parents. In 1975, eight in 10 Americans were married by age 30. Now, eight in 10 are married by age 45. It seems that achieving financial, educational and career goals are pushing back the timeline for establishing other markers of adulthood.
Millennials as Homebuyers
It’s important to note that the U.S. Census counts dormitories as living at home, which is undoubtedly part of the reason that the figure for millennials living at home seems so staggering.
In fact, millennials are the largest group of homebuyers. As CNN Money cites, this group represented approximately 45 percent of all purchase loans in January 2017, a 3 percent increase over the same month in 2016.
So what does the typical millennial homebuyer look like? According to National Mortgage Professional Magazine, software company Ellie Mae found that the average age is 29 and a half. And putting off marriage until later does not affect the likelihood of buying a home—51 percent of recent millennial homebuyers were married and 49 percent were single.
Despite the competitive economy and change in priorities for young adults, 83 percent of millennials still plan on buying a home as part of their American Dream.
Are you a millennial looking to dip your toes into the waters of homeownership? Or a more experienced homeowner searching for your next abode? Buying a home is a huge milestone in anyone’s life! Protect your investment by finding a homeowners insurance policy with the right rates and coverage for your lifestyle.
Compare quotes with CoverHound today!