“Boomerang” generation moves home due to COVID-19
Thousands of Aussies have had to move back into the parental home during the pandemic, according to new research by Finder.
A recent Finder survey of 1,025 respondents revealed that 26% of Aussie households have an adult kid living at home, totalling more than 1.5 million families according to ABS data.
Of those households with adult children, 1 in 5 (21%) "kidults" returned home because of the fallout of COVID-19.
A Finder analysis reveals this is approximately 331,339 young adults.
Kate Browne, personal finance expert at Finder, says sweeping job losses and reduced income has left thousands of young adults without enough money to pay the rent and bills.
"From young professionals who have lost their jobs, to expatriates returning from overseas, COVID-19 has had a negative financial impact on many Aussies. Some have no choice but to move back in with mum and dad.
"Some may have also moved back home to help their older parents during the lockdown. .
"There are some very vulnerable people in the community, so having the option to move in with family and help out around the house is a good thing.
Browne said there are implications for parents welcoming back adult children into the home.
"It may take some adjusting once an adult kid returns home, especially when you're practising social distancing together.
"Many adult kids are returning to their childhood bedrooms, setting up workstations in the dining room and asking, 'what's for dinner?'.
"While some parents will be delighted to have kids move back in, whether or not they can handle an increase in the energy, water and food bill remains to be seen," Browne said.
For more information on financial hardship assistance, visit https://www.finder.com.au/coronavirus-financial-help
Tips to save on your rent if you can't move back home
- Ask for a discount. Your landlord may be willing to reduce your rent, but if you don't ask, they almost certainly won't.
- Add a roommate. Renting out a spare room can alleviate a lot of bill stress. Make sure you check with the landlord first.
- Tap into your spare space. Do you have unused garage or storage space that you could rent out? The extra cash can go towards the weekly rent.
- Save on your other necessities. Whether it is a cheaper energy provider or a better mobile phone plan, it all adds up.
For more information on financial hardship assistance, visit Finder's Coronavirus hub.