Young Aussies are moving back in with their parents because of the cost of living crisis

The cost of living crisis is changing the way we live and a new trend has started that means young Aussies are going backwards.

The cost of living crisis is changing the way we live. Source: supplied

Young people aren’t just using the ‘Bank of Mum and Dad’ to survive the cost of living crisis - they are moving back home with their parents.

A recent Finder survey revealed 13 per cent of Australians - 2.6 million people - have moved back into their family home or have had an adult child move back in with them in the past 12 months.

The research shows the financial difference between those who live at home and those who rent adds up to $137,802 over a five-year period.

Skye, 29, has two young children and a full-time working partner but opted to move her young family back home with her parents simply because it was too expensive to continue paying surging rent prices while trying to get ahead financially.

This isn’t news to anyone who has bills to pay.

Inflation is at a staggering 7 per cent, the RBA has hiked interest rates 11 times over the past year and a staggering 47 per cent of Aussies are saying they can’t afford to fill their trolleys with groceries according to research by Suncorp.

Not to mention that new data also shows rental prices in some suburbs have increased by almost 50 per cent in the past year, pushing a growing number of tenants to breaking point.

Moving back in with your parents is a new trend. Source: Supplied

Skye, 29, has two young children and a full-time working partner but has had to move back to her parent’s house to try and get ahead. Source: Supplied

Finder’s money expert Sarah Megginson explained: “More Aussies are moving back home with their parents as they struggle to cope with rising expenses.”

“Interest rates have been going up and the cost of living pressure is coming from all angles, making it difficult for many to cope financially,” she told news.com.au

For Skye and her family, the decision felt like a no-brainer.

“With a growing family, we needed a bigger home and for us, moving in with my parents gives us the flexibility to save money and save on rent,” she said.

Plus, they aren’t just saving on rent; she’s found other financial advantages to moving back in with her parents as an adult – the kind that almost make sharing bathrooms again worth it.

“We also benefit from sharing dinners and having access to grandparents to help with our young daughters.”

Even with the parental support, Skye said she was still feeling the cost of living crunch.

“The rising cost of living is crazy, and a lot of my friends are cutting down on leisure activities. We definitely go out less and have to be more careful about where we spend money.

“We try to be more careful with our money and eat out less as well pack lunches for ourselves and our toddler. I’m on maternity leave, so it’s a consideration of how soon I will return to work.”

It isn’t just that young people are moving back home to help cope with the cost of living. Some aren’t even moving out of home in the first place.

Morgan, 22, has graduated university and has a full-time job working at Sephora but still hasn’t packed her bags and found her own pad yet.

The Brisbane woman said that moving out simply doesn’t feel like an option in these economic times.

“I’d planned to move out once I finished University, but it is just too expensive,” she told news.com.au.

Morgan is staying at home because of the cost of living crisis. Source: supplied.

Morgan didn’t plan on staying at home for so long. Source: supplied

Morgan is incredibly grateful that she can stay home with her parents, and she only pays $100 a month for the privilege, but she does admit it isn’t ideal.

“Even though my parents do their own thing. You can’t just have your friends around whenever you want and you can’t really have your freedom,” she said.

Staying at home well into your 20s has become the normal for Generation Z.

“My friends talk about moving out all the time, but then they don’t end up doing it. I recently had a friend planning to move out, but she put the brakes on it because of cost of living,” she explained.

Despite Morgan’s lucky circumstances she is still feeling the crunch - especially because she is trying to save to buy an apartment of her own in attempt to get ahead financially.

“I used to always look forward to my pay, but now I’m pretty much out of money when it arrives, and I need it! Everything’s getting more expensive, and trying to save hurts at the moment.”

Anthony Voulgaris is another young Aussie who has no plans to move out from his family home.

“I’m staying here as long as I can,” the young Melburnian said on TikTok.

“I get free food, I get my washing done for me - that’s lucky, a lot of people don’t get that - I’m not moving out ever.

“If I can stay here until I’m 50, I will. I’m slaving off of these people and I’ll continue to do so, happily.”

Melburnian Anthony Voulgaris says he plans to stay at home until he’s 50 as rising rent prices make it difficult for young Aussies to get ahead. Picture: Instagram

So, is it a good thing that Aussies are staying at home for longer or returning home?

Well, Ms Megginson pointed out that for Boomer parents it isn’t a financial benefit at all.

“While some parents can afford to support their kids moving home, it’s expensive to house, warm and feed your adult kids – it’s not free for them.”

Moving home or never leaving in the first place might be good for the younger generation’s wallet but it also means young people are missing out on living completely independent lives simply because they can’t afford too.

“Moving out of home is a rite of passage and it’s about so much more than money,” Ms Megginson said.