More college grads moving in with parents

Forty-eight percent of college graduates, those aged 20 to 26, moved back in with their parents after finishing school.

According to teenagers (aged 13 to 19), 65 percent do not want that to be their fate after college, according to TD Ameritrade’s Young Money Survey. But at what age should adults be on their own? According to teens surveyed, 26, and according to young millennials (aged 20 to 26), 28 is the time to get your own place. However, 27 percent said 30 to 34, and 11 said aged 35.

“Today’s college graduates are clearly under financial strain due to escalating tuition fees and stagnant wages,” said JJ Kinahan, chief strategist at TD Ameritrade in a press release. “Moving back in with mom and dad is a short-term sacrifice that could pay off in the long-run. That’s only if the boomerang young adults are saving and wisely investing the thousands of dollars they would’ve spent on rent and other living expenses, and – at the same time – are paying down their student debt. Time is on their side. It’s never too early to start learning how to invest and plan for the future.”

Thirty-nine percent of younger millennials said student debt is preventing them from purchasing a home, while 27 percent reported it is delaying them from moving out of their parent’s homes. Fifty-seven percent of young millennials reported that the cost of school was a good investment, and 80 percent said the degree is important for their current job. Seventy-six percent of graduates say they use their degree regularly. However, 20 percent said the education is not worth the debt they now have.

Yet homeownership is still an aspiration. Seventy percent of teens, and 65 of young millennials, reported that owning a home is important, ahead of having a high-paying job, or having a career that makes a difference.