Commercial real estate analytics firm CoStar Group forecasts more Millennials will be moving out of their parents' homes. The latest data show 0.5 percent fewer lived with parents in 2017 than 2016.
CoStar anticipates that this number will continue to decrease over time, as there are currently more job opportunities, and wages are expected to rise over time. Yet, as CNBC notes, Millennials face financial hurdles that previous generations did not at the same age. Millennials' wages are an inflation-adjusted 20 percent lower than their parents were at the same age, per a study of Federal Reserve data by advocacy group Young Invincibles
"There are more individuals in that age cohort who are employed," said Michael Cohen, director of advisory services at CoStar. "We also should see some wage gains in that age range." Cohen said the tight labor market — overall unemployment is about 3.8 percent — has led to a higher rate of workforce participation among younger adults. "That gives me some degree of confidence that we'll see some more momentum," Cohen said. Additionally, as young adults progress in their careers, their incomes should rise with those job advancements.
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