Youth Living with Parents: Shifting from Uncommon to Common in Italy

The average age at which young adults leave their parental home in Italy is increasing rapidly. While moving out and living independently before turning 30 used to be the norm, residing with parents has now become the societal standard.

According to Eurostat, the average age of achieving independence in Italy exceeds 30 years, making it one of the highest in the European Union. The reasons are rooted more in economic challenges than in mindset shifts: the high expenses of renting accommodation, job market instability, and hurdles in securing a mortgage.

Economic Context: Delayed Financial Autonomy

The postponement of leaving the family home is a consequence of fundamental economic factors:

• Delayed entry into a profession and obtaining stable employment;
• Prevalence of temporary and short-term job contracts;
• Modest initial salaries for young professionals;
• Elevated living costs in major urban areas.

Data from Istat confirms that the current generation is establishing long-term careers much later than the generation of the 1990s. Moreover, the absence of permanent work contracts (contratto a tempo indeterminato) makes renting or buying a home nearly unattainable.

High Rental Costs as the Primary Obstacle

The steep rental prices are the primary factor keeping young individuals in their parents' residence.

The primary issues within the rental market in Italy include:

• Scarce availability of affordable housing in major cities;
• Surging demand for accommodation;
• Competition with the short-term rental sector catering to tourists;
• Substantial upfront payments (2-3 months' deposit plus agency fees).

Property Prices: Attainable Homeownership?

Based on the idealista price index, the average cost per square meter in Italy decreased by 1.1% monthly in July (to 2,030 euros/sq. m), but displayed a yearly growth of +3.1%.

The primary challenge revolves around the correlation between incomes and property costs. To purchase their first home, young adults need a substantial amount of capital upfront for:

• Down payments for mortgages (typically around 20%);
• Notary charges;
• Taxes and additional fees.

Consequently, the majority of property acquisitions by buyers under 35 are supported financially by their parents.

Shifting Priorities: Millennials and Gen Z

The transition between generations has introduced new behavioral trends. Millennials and Generation Z are approaching their life objectives differently. Owning a property is no longer the ultimate priority for many; instead, they opt to invest in education, travel, and international experiences.

There has been a shift in housing preferences as well, with increased demand for:

• Larger apartments outside city centers;
• Terraces, balconies, and green spaces;
• Neighborhoods with good transportation access at affordable rates.

An Institutional Issue or Adaptation to Circumstances?

For some, residing with parents is a deliberate strategic choice to accumulate initial capital, while for others, it is an inevitable reality, reflecting the systemic challenges of the Italian economy and job market.