Americans Are Living With Parents as Housing Prices Skyrocket
(BrightPress.org) – During tough economic times, people often find ways to save money. Cutting back on spending, canceling a streaming service or two, or maybe canceling a weekly night out. With inflation and energy costs continuing to stifle growth and causing economic problems for millions, many American adults made the ultimate cut — their rent.
On October 25, The Wall Street Journal reported that 18% of American adults lived rent-free for the past six months. Some with family and friends, and some with no place to stay. Not everyone is fortunate enough to have that kind of support system.
~1 in 10 students in New York City live outside, in cars, abandoned buildings, or in homeless shelters, often doubled up with other families.
This = 104K homeless kids in NYC, up from 78K in 2008. In LA, 1 in 11 students are homeless. What are we doing?https://t.co/EgaZEnIC16
— Amy Maxmen, PhD (@amymaxmen) October 27, 2022
The problem stems from the current economic climate and the unstable housing and rental market. In 2021, a real estate boom accompanied record-low interest rates, driving up real estate prices across the board. While the spike settled, the aftermath still hits renters hard. WSJ pulled its data from a UBS survey showing apartment demand was at its lowest since 2009, in the wake of the subprime mortgage crisis.
The spike in renters vacating the market is the highest since the company began the survey in 2015. Still, there is some good news. As both the housing and rental markets cool, prices have come down. Price increases, unfortunately, can be sticky, and the rental market is no different. Nationally, rental costs are up 6% or more annually.
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