The Census Bureau recently released a report on the number of shared households, (‘a household with at least one resident adult not enrolled in school who isn’t the householder, spouse or cohabiting partner of the householder). In non-bureaucrat-ese, it essentially means people living with either roommates or relatives. Unsurprisingly, these households significantly increased from 2007-2010, coinciding with the aftermath of the Great Recession. The report provides some additional evidence that moving back in with relatives or roommates was an essential lifeline:
Higher personal poverty rates for those heading shared households suggests that this group has fewer individual resources than their counterparts. However, lower official and household poverty rates among householders heading shared households suggest that household sharing lessened economic strain. {..} the official poverty rate for young adults aged 25 to 34 living with parents was 8.4 percent in 2010, but if poverty status was determined by personal income, 45.3 percent would have been in poverty.
Think about that for a moment – poverty among 25 to 34 year olds would have been almost five and half times greater without the ability to share living expenses. The aftermath of the recession has featured plenty of stories about downward mobility, but this data illustrates the degree to which sharing housing expenses wards off financial calamity. The economy has a long way before it fully recovers and developers already seem to be anticipating the need for more multi-generational housing:
“This is a niche area that appears to be solid and growing,” Stephen Melman, director of economic services at the Washington-based National Association of Home Builders, said in a telephone interview. “It’s a demographic thing.” {…} “The past few years is really about economic hardship,” Yun said. “More people in multigenerational households just means there are more people under one roof.”
Home sizes have generally increased over the past forty years, but their suitability for mult-generational housing usually leaves something to be desired. As people continue to struggle financially, more families might decide pooling their resources is the only available life-preserver.