The Federal Reserve’s latest Survey of Household Economics and Decisionmaking found that nearly half of adults younger than 30 now live with a parent, reflecting a rise tied to housing costs, high borrowing rates and everyday expenses.
What the Fed reported
The survey showed that roughly 50% of adults under 30 live in a parent’s household, an increase of 6 percentage points since 2022 and 12 percentage points since 2019, the Fed reported. The trend comes as respondents cited the cost of housing, elevated mortgage rates and rising prices for groceries and gasoline as the main reasons for staying at home.
Housing and fuel costs were noted as prominent pressures. AAA data referenced in related coverage showed U.S. diesel futures trading above $5 a gallon for the first time since April 2022, adding to transportation and goods costs that households face.
Consumer confidence and the broader picture
The Conference Board’s consumer confidence index also moved higher in October, rising 7.5 points to 91.7, according to the board. The increase follows a 12-year low in September, but confidence remains well below long-run historical levels and does not offset the continued pressure of persistent inflation on household budgets.
- About 50% of adults under 30 live with a parent, per the Fed survey.
- The share is up 6 percentage points since 2022 and 12 percentage points since 2019.
- Consumer confidence rose to 91.7, an increase of 7.5 points in October, the Conference Board said.
The Fed survey links living arrangements to a combination of labor-market conditions and cost pressures. While consumer confidence showed a month-to-month improvement, the survey’s measures on household economics suggest many younger adults are responding to immediate budget constraints rather than long-term shifts in preferences.
Federal Reserve surveys of household economics are periodic snapshots of how Americans report handling expenses, savings and employment. The Conference Board and AAA numbers cited alongside the Fed data provide context on consumer sentiment and specific cost categories that influence household decisions.
These figures add to national indicators used by economists and policymakers to assess household financial resilience and the near-term effects of inflation and interest rates on living arrangements for younger adults.
