Young adults living with parents on the rise

Harsh market conditions might be pushing some to move back in

Young adults living with parents on the rise
According to the 2016 census recently released by Statistics Canada, just over a third of Canada’s young adults are living with their parents.

The number has been gradually increasing since the turn of the millennium, according to Global News. The latest survey has determined that 34.7% of adults aged 20-34 live with at least one parent.

“That’s a share that is similar to the United States and Australia,” Jonathan Chagnon, senior analyst at Statistics Canada’s demography division, told the news outlet. “And it’s still lower than in other European countries.”

Certain sub-segments of the young adult demographic, however, are more likely to be living under the same roof as their parents. Nearly two thirds of people between 20 and 24 years old live in the family home. And in Ontario, 42% of those aged 20 to 34 years old live with their parents.

“We see the growth is faster in Ontario than in other parts of the country,” Chagnon said.

The highest rates are found in Toronto (47.4%) and Oshawa (47.2%). Higher-than-average percentages of young adults staying with parents are generally found in the Greater Toronto Area and the Lower Mainland in BC.

Chagnon offered some explanations for the trend. “We can think that for British Columbia and Ontario, these are regions where we see a lot of immigrants, so that could be part of cultural differences,” he said. “These are also regions where the price of housing is really high.”

The GTA and Lower Mainland are known for generally higher costs of living and housing costs compared to other parts of Canada. These and other realities could also be contributing to the decline in the number of young adults that start their own families.

For more of Wealth Professional's latest industry news, click here.

Related stories:
Senior debt a global concern, say experts
Canadian parents willing to give adult children leg up to move out