Nationally, the country is experiencing a delay in household formation among the millennial generation, as well as declining homeownership rates. This week’s Friday Factday explores these trends in the 10-county metro area.
In terms of homeownership, rates are way down in metro Atlanta – for all age categories, but especially among millennials (as shown in the chart below). In six of the 10 counties, homeownership rates among those under 34 years of age declined by more than 10 percentage points from 2000 to 2015. Henry county experienced the sharpest decline – with rates decreasing by over 33 percentage points.
Source: U.S. Census Bureau, 2000 Decennial Census and American Community Survey 2011-2015 5-Year Estimates
So, if metro Atlanta millennials aren’t buying homes, where are they living? Perhaps not surprisingly, “living with parents” is the most popular living arrangement for 18 to 34 year olds among all 10 metro counties, as shown in the chart below. Fayette county shows the highest rate of millennials living with their parents, at nearly 60%, while in Cherokee and Cobb counties, the percentage of millennials “living with a spouse” is a close second to those “living with parents.”
Source: U.S. Census Bureau, American Community Survey 2011-2015 5-Year Estimates
There are a number of factors contributing to the delay in household formation, including: rising home and rental prices, the dwindling supply of affordable housing stock, and the added effect of transportation costs on affordability. Stay tuned for the July Regional Snapshot (released at the end of the month), where we will further explore housing affordability in metro Atlanta.