Boomerang kids move back home after college. More and more parents are okay with that.

Coldwell Banker released results from a survey about how parents feel when their children move back home, and the results are not particularly surprising: More parents are now fine with their children moving back home than in recent years.

The Wall Street Journal points out an obvious reason: Both parents and adult children were hurt by the recession, so there’s a measure of understanding between them. Joblessness for people aged 18 to 25 is higher than the national average and has been for several years. Respondents whose children are older or significantly younger had different expectations.

CNN Money points out the negative effects on the housing market. Homeownership for adults under the age of 35% is historically low. The lack of buyers in this age group has seen an increased supply of homes, particularly so-called starter homes.

A blogger at Coldwell Banker points out that not all boomerang kids are bumming off their parents. Many use the time at home to save up money so that they can be financially stable. By saving on rent, groceries, and bills, many are able to pay off student debt and save up for a down payment on a house.

Regardless of reason for staying with their parents, boomerang kids reduce the number of homebuyers in the market, and analysts agree the trend hurts the overall housing economy. Are you a boomerang kid? What is your exit strategy, or are you happy at home?

CEO @OwnerAide

Posted in Real Estate News

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

The OwnerAide Blog provides news, analysis, and tips to help real estate brokers and agents better serve their clients. Want to learn more? Subscribe today.

Join 621 other followers

Follow OwnerAide on Twitter
Follow

Get every new post delivered to your Inbox.

Join 621 other followers

%d bloggers like this: