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The majority of 18- to 29-year-olds in the US are now living with their parents

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Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#61
post #10
post #7

I live downtown in a coastal city. What I’m seeing is a lot of young men living in the streets. This is the other side of this story some young adults don’t have a home to go back to after job loss and eviction. We’re seeing just the tip of the iceberg. I expect a lot more social upheaval in the coming years. Social services are going to get severely strained.

This has been the case in California for a long time. Unless we just forgive rent until a vaccine is out, many people will never catch up.

> Unless we just forgive rent until a vaccine is out, many people will never catch up.

If 'we' forgive rent owed landlords, will 'we' also forgive the mortgages those landlords owe the banks? Will 'we' also forgive the obligations the banks which owe to other banks and their investors? Will 'we' also forgive the obligations those investors owe, for example to pensioners? Will 'we' then step up and pay for those pensioners' food and … rent?

An economy is a gigantic web of interlocking relationships. It takes years (one might even say centuries!) to build and develop all of those, but it takes far less effort to destroy them. It is computationally impossible for anyone to understand all of an economy, and thus impossible for anyone to make good decisions on behalf of an entire economy.

If we are worried about folks without resources, we should give them some. Yes, that runs the risk of encouraging those who want to get those resources (e.g. student financial aid encourages the growth of the academic industry, mortgage assistance encourages the growth of the real estate industry &c.): we should probably just give the poor some amount of money and let them make their own decisions about it. Call it unemployment or UBI or whatever.

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#62

Multi generation homes used to be norm but societies became wealthy enough to move away from that ( and various frictions it creates) looks like we’re literally moving back. Good for the environment, bad for the economy and mental well being.

I think I could live with my parents in the house, but I could never live with my life and her parents in the same house (for longer than a few days).

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#63
post #40

Millennials face a very real risk of being a lost generation financially. They have endured 2 major, years long recessions, and now the Covid pandemic coupled with social isolation and massive unemployment that does not appear to have an end date in sight. Housing is more expensive for them than prior generations, wages are stagnant, school is expensive and social conflict is also currently on deck. WW2 was of course…

The optomisit in me hopes that when the truth about climate change really dawns then the effort to battle it could cause a similar transfer of wealth to a post war rebuilding. Lets hope we can actually solve the problem though or it wont matter much.

A lot of post-WW2 wealth transfer was from old failing empires to US of A. While climate change wealth transfer would accelerate transfer from US of A to ex-2nd and, especially, 3rd world. Either way, US and rich West people are looking to grim future compared to their parents. The rest of the world... We'll be fine one way or another.

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#64
post #13

I moved back into my parents house after my lease expired, primarily to have regular social interaction again. > "While moving back home during the pandemic makes sense and is seen as socially acceptable or even smart, it also means you are living with people who still see you as your 18-year-old self." One of the biggest things I’ve noticed among millennials is how many parents fail to understand the emotional and m…

I will probably be going against the grain here, but I managed to rent a flat by myself while in university years ago with a part time job in a supermarket at weekends and applying for some hardship funds and other money available at the time. Rents have risen a lot since then, but is it really impossible for someone in work to be able to afford rent? Or are they insisting on living in a fashionable part of town? (Fo…

You didn't manage to rent a flat by yourself. You were given money to do so, by your own admittance. I don't blame you for taking advantage, but you're using it to argue that young people can or should be able to make it on their own. You've just got anonymous parents supporting you in place of your own parents.

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#65
post #41

Millennials face a very real risk of being a lost generation financially. They have endured 2 major, years long recessions, and now the Covid pandemic coupled with social isolation and massive unemployment that does not appear to have an end date in sight. Housing is more expensive for them than prior generations, wages are stagnant, school is expensive and social conflict is also currently on deck. WW2 was of course…

Anecdotally at least, all of my friends around my age (32) have by now managed to buy homes at very reasonable rates ( Meanwhile my parents are stuck with their much higher 10% boom years interest rate, even though the absolute amount was much lower initially. Of course this is in Europe, not the states.

We have low mortgage rates right now because the European Bank has set low interest rates for loans; consequentially, we now have very low (nearly non-existent) interest on savings, and because of 'cheap' mortgages, more people want to buy houses which drives up the price.

So while mortgages have low interest, houses are expensive. To the point where you need a double income for a reasonable house.

My parents started off with a (iirc) 12.5% interest rate, but over the years were able to remortgage the house and eventually to a payment-free one (so they will never pay off the remaining balance on their mortgage, meaning they don't own the house (fiscally) and pay taxes on the monetary value it represents).

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#66
post #41

Millennials face a very real risk of being a lost generation financially. They have endured 2 major, years long recessions, and now the Covid pandemic coupled with social isolation and massive unemployment that does not appear to have an end date in sight. Housing is more expensive for them than prior generations, wages are stagnant, school is expensive and social conflict is also currently on deck. WW2 was of course…

Anecdotally at least, all of my friends around my age (32) have by now managed to buy homes at very reasonable rates ( Meanwhile my parents are stuck with their much higher 10% boom years interest rate, even though the absolute amount was much lower initially. Of course this is in Europe, not the states.

Just being curious - if your parents are stuck with 10% interest rates while current interest rates are closer to 3%, why are they not borrowing a 3% to reimburse their 10% loan?

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#67
post #41

Millennials face a very real risk of being a lost generation financially. They have endured 2 major, years long recessions, and now the Covid pandemic coupled with social isolation and massive unemployment that does not appear to have an end date in sight. Housing is more expensive for them than prior generations, wages are stagnant, school is expensive and social conflict is also currently on deck. WW2 was of course…

Anecdotally at least, all of my friends around my age (32) have by now managed to buy homes at very reasonable rates ( Meanwhile my parents are stuck with their much higher 10% boom years interest rate, even though the absolute amount was much lower initially. Of course this is in Europe, not the states.

Low interest rates are nice, but how many years do you need to work with an average middle class income to pay for an average flat/house?

I live in Munich, and it's difficult to imagine that I can ever buy a house here, even with a relatively good salary.

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#68

Multi generation homes used to be norm but societies became wealthy enough to move away from that ( and various frictions it creates) looks like we’re literally moving back. Good for the environment, bad for the economy and mental well being.

"Societies became wealthy enough..." I'd argue that value systems shifted. Consumerism and careerism took over family and home.

"bad for the economy and mental well being"... quite the leap. It's good the family economy of those involved, and for many parents and children it can be a great thing for mental health as well.

Re: The majority of 18- to 29-year-olds in the US are now living with their parents

#70
post #47
post #41

Earlier quoted context omitted.

Anecdotally at least, all of my friends around my age (32) have by now managed to buy homes at very reasonable rates ( Meanwhile my parents are stuck with their much higher 10% boom years interest rate, even though the absolute amount was much lower initially. Of course this is in Europe, not the states.

Is refinancing not a thing in Europe?

It's a thing. Not sure if whole EU but in Poland by law you don't pay fees when refinancing after 3 years.
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