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House Price Growth Causes Surge in Multi-Generational Households
This article is an external press release originally published on the Landlord News website, which has now been migrated to the Just Landlords blog.
Sharp house price growth has caused a surge in multi-generational households, according to data from Aviva.
While many young adults aspire to get on the property ladder, house price growth of 52% over the past decade has led to the number of multi-generational households rising by 46%.
This includes adult children or couples either moving back in with their parents or never leaving home.
House Price Growth Causes Surge in Multi-Generational Households
In 2015, there were around 2.8m adults aged 21-34 living with their parents, or 23% of people in this age group, according to figures from the Office for National Statistics (ONS). This is up by 32%, or more than half a million (684,000) people, since 2005, says Aviva.
Additionally, the ONS data shows a 46% increase in the number of people living in multi-generational households across all age groups between 2005-15, up from 1.1m to 1.5m.
However, a huge 66% of people currently living in this type of household say the benefits far outweigh the disadvantages.
More than half (57%) say that this living arrangement helps with saving for a deposit for their own home, while 71% have moved back in to care for a relative.
The main benefits of living in a multi-generational household are having people around for company, shared living costs and sharing chores, found the Aviva study.
If house price growth continues to soar, Aviva expects there to be 2.2m people living in multi-generational households and 3.8m 21-34 year olds living with their parents by 2025.
The firm’s Lindsey Rix comments: “Multi-generational living is often seen as a necessity rather than a choice, particularly when adults are forced to move back in with family to help save for long-term goals, like buying their own house. But rather than being an inconvenience, our report shows it is often a positive experience, with shared living costs reducing financial strain and the added benefit of constant company.
“If house prices continue to rise at their current rate, we can expect the number of multi-generational houses to continue to grow. What we need from our properties – and how we go about protecting them – will also adapt as the UK’s way of living evolves.”
Do you have adult children living at home? Or maybe you’re saving for a deposit yourself?
