Millennials were found to be twice as likely to reside with their parents in 2021 compared to baby boomers during their young adult years, as per a recent analysis by Statistics Canada. The study, which examined data from three census cycles spanning different generations, revealed that 16.3% of millennials aged 25 to 39 were living with a parent in 2021, while only 8.2% of baby boomers were in a similar living situation in 1991.
Furthermore, millennials exhibited the lowest rate of homeownership at this age range when compared to previous generations. In 2021, just under half of millennials, at 49.9%, owned their homes, whereas 56.2% of Gen Xers did in 2006 and 55.9% of baby boomers did in 1991.
This trend was more pronounced in major cities, particularly Toronto and Vancouver, known for their steep housing costs. In Toronto, 26.1% of millennials were living with a parent in 2021, while the figure stood at 19.3% for Vancouver millennials.
The proportion of millennials living with a spouse, partner, or child was notably lower than in past generations. While approximately three in four baby boomers had such living arrangements in 1991, only 62.8% of millennials did in 2021.
The rising cost of housing in Canada, outpacing wage growth over time, has likely contributed to these trends. Lower-end home prices have surged by over 200% since 2024, while household incomes of young dual-earners grew by just 76% during the same period, according to a recent analysis by CBC News.
Although there has been a slight decline in house prices, especially in some major cities, it has not yet been sufficient to facilitate entry into the housing market for first-time buyers. TD Economics predicts a 0.3% decrease in home prices across Canada this year.
Statistics Canada emphasized that factors beyond affordability, such as delayed family formation and extended educational pursuits, have influenced these shifting living patterns. Cultural differences among demographic groups may also play a role in these evolving trends.