Young adults key to housing rebound, report says
“The key to getting the nation’s housing market to bounce back lies in an unlikely source, two bond-fund analysts argue: the increased number of 20-somethings who stay with their parents or live with roommates…
A household formation is when children move out of the house, people get married, roommates split apart or couples separate. According to Census Bureau data, household formation has fallen below the yearly rate of 500,000 to 3.5 million it has been for many years, as more young people choose to live with their parents or stay with their roommates longer.
But the household-formation rate appears to be bottoming, and this may signal better times ahead for housing, the Putnam analysts say.”