‘We should absolutely be concerned about non-college-educated men today’: higher rents, living at home, falling out of the labor market | Fortune
Men are nearly twice as likely as women to be living with their parents, a demographic shift that a new study identifies as particularly detrimental for non-college-educated men, who exhibit significantly lower rates of employment compared to their college-educated counterparts. This phenomenon, often dubbed the "boomerang generation," reveals a complex interplay of soaring housing costs, stagnant wages, and evolving societal structures that are fundamentally reshaping the transition to adulthood for a significant segment of the male population in the United States.
The Rising Tide of Multi-Generational Living: A Six-Decade Perspective
The recent surge in individuals returning to or never leaving the parental home is not merely a transient trend but a deeply rooted consequence of economic pressures accumulating over decades. As rents have escalated across the nation, an increasing number of men, particularly those without a college degree, are finding independent living financially untenable. Data from a new working paper by Gabrielle Penrose, a graduate student fellow at the American Institute for Boys and Men (AIBM), meticulously analyzes six decades of U.S. Census data, drawing a direct and concerning link between the relentless rise in housing costs and a notable decline in male labor force participation.
Currently, a striking one in six non-college-educated men (16%) resides with their parents, a figure that dwarfs the 8% observed among college-educated men. This disparity underscores a widening chasm in economic stability and opportunity. "There are very real economic forces that are limiting the options for non-college-educated men in the United States," Penrose explained to Fortune. "Some of what we’re seeing is simply rational responses to a system that’s pricing them out." Her research offers a compelling narrative of how macro-economic shifts translate into individual life choices, often with profound long-term consequences.
Economic Headwinds: The Double Burden of Soaring Rents and Stagnant Wages
The economic backdrop to this trend is stark. Since 1960, real rents in the United States have surged by an astounding 150%. This dramatic increase in a fundamental living expense has not been matched by corresponding wage growth for all segments of the population. Over the same period, wages for men without college degrees have remained largely stagnant, effectively diminishing their purchasing power and making independent housing increasingly out of reach. This stagnation is attributed to a confluence of powerful economic forces: the relentless march of automation displacing manual labor, the pervasive effects of globalization shifting manufacturing jobs overseas, and the broader collapse of traditional manufacturing industries that once provided stable, well-paying employment for non-college-educated men.
Penrose’s paper meticulously details how these two converging trends – rapidly rising rents and stagnant wages – create an inescapable squeeze, forcing more Americans back into the parental home. The data reveals that men return home at nearly double the rate of women. Crucially, the study highlights a more alarming outcome: non-college-educated men who find themselves back in the parental nest are increasingly disengaging from the workforce altogether, transforming a temporary financial reprieve into a prolonged period of economic inactivity.
The Shifting Landscape for Non-College Men: A Growing Disadvantage
Scott Winship, a senior fellow and the director of the Center on Opportunity and Social Mobility at the American Enterprise Institute (AEI), emphasizes the heightened severity of this issue today compared to past generations. He notes that the disadvantages faced by non-college-educated men are potentially more pronounced now than they were in the 1960s, the initial period of Penrose’s analysis.
"Today, there are many fewer non-college men than there were a generation ago, and so we should absolutely be concerned about non-college-educated men today," Winship told Fortune. He elaborates on the relative decline in this demographic’s standing: "They are a more disadvantaged group than they were in previous generations, just because the share of young adults with a bachelor’s degree is up to 40% or so now, versus in the past, when it was much lower. And so that makes me worry." This observation points to a societal context where a college degree has become an increasingly essential prerequisite for economic mobility and stability, leaving those without one further marginalized in a competitive labor market.
Housing as a Catalyst: Geographic Constraints and the Price of Independence
The study provides compelling evidence of the direct impact of housing costs. A mere 10% increase in local rents raises the likelihood that a non-college-educated man moves in with his parents by 1.1 percentage points. Penrose employed an innovative research instrument, leveraging geographic constraints such as mountains, coastlines, and lakes, to isolate areas where housing supply is inherently limited. Her findings indicate that in such regions, construction is constrained, leading to higher housing costs for reasons entirely independent of local wages or job prospects.
"In some areas, housing costs are higher not because people are earning more and driving up prices, but because there are limits to supply, because of geography: lakes, coastlines," Penrose explained. "Housing is just more expensive there simply because it’s harder to build there." This insight underscores that the housing crisis is not solely a demand-driven phenomenon but is significantly influenced by supply-side restrictions, often exacerbated by natural barriers. Winship concurs, stating, "It would be surprising if cities with higher housing costs didn’t have more men living at home just because, almost by definition, they’re less affordable."
The ‘Boomerang Generation’ and Parental Support: A Normal Good
Compounding the issue of high rents is an almost enabling environment created by the financial position of many Baby Boomer parents. The paper suggests that these parents, often sitting on significant housing wealth accumulated over decades, are better positioned than ever to absorb their adult children back into their homes. Penrose describes providing for adult children priced out of the housing market as a "normal good" in economic terms – something people spend more on as they get richer. "Parents are earning more and their sons are earning less," she notes, highlighting the growing intergenerational wealth disparity.
This observation is corroborated by external data. Brandi Snowden, Director of Member and Consumer Survey Research at the National Association of REALTORS® (NAR), referenced NAR’s 2026 Generation Trends report. She told Fortune that "Baby Boomers continued to make up the largest share of recent home buyers," with a quarter of Boomers purchasing multi-generational homes recently. This trend allows them "to care for aging parents or relatives, and accommodate adult children that may be moving back into their house, or who have never left." This confluence of factors creates a safety net, albeit one with potentially complex long-term implications for the adult children involved.
Gender Disparities: The Role of Children in Shaping Outcomes
The trend of adult children returning home is not entirely gender-neutral, although both sexes are affected. The share of men between 25 and 45 living with their parents has nearly doubled since the 1960s, rising from 7% to 12% today. While women’s rates have also increased, they have remained relatively flat at 7%, maintaining a significant gap with men. The study identifies a critical factor in this gender divergence: children.
When Penrose isolates women without college degrees who do not have children at home, their patterns of labor force participation and rates of living with parents begin to mirror those of men almost exactly. "When I look at women without a college degree who do not have children, their labor force participation and their rates of living with parents start to look much more like these men," she explains. "The difference is young children." This suggests that the societal expectation for women to be primary caregivers, even in a context of economic hardship, may contribute to their different residential and employment trajectories, as they might prioritize establishing independent households to raise families, or be less likely to move back with parents if they have children.
The Alarming Trend of Workforce Detachment: Not a Launchpad
Perhaps the most consequential finding in Penrose’s paper is the direct impact on labor force participation after men move back home. The data shows that men living with their parents are a staggering 20 percentage points less likely to be in the labor force than their independently living counterparts. This significant gap is directly linked to housing costs; the same 10% rent increase is associated with a 0.5 percentage point decline in labor force participation. Initial estimates suggest that housing costs alone could explain roughly a third of the total employment decline among non-college-educated men.
Winship finds these findings unsurprising, given the profile of men most affected. "That’s not too surprising to me, just because if you’re looking at adults in their 20s or even 30s who are living at home, you’re looking at sort of the most disadvantaged guys in their cohort," he states. "So it makes sense that they’ve got other barriers to finding work, to keeping work—and that they’d be more likely to permanently drop out of the workforce."
The scale of this detachment is stark: one in five non-college-educated men in their early 30s now live with their parents, and this elevated rate persists into their 40s, with approximately 14% still at home at age 40. Even more concerning is the long-term impact on employment history: among non-working men living at home, a quarter have never held a job at all, a significant increase from one in five in 1980. This contradicts a common assumption that living at home might serve as a temporary "launchpad" for young adults to save money and strategize their careers. "Some of the pushback I was getting is people saying, ‘Maybe men are using it as a launchpad,’" Penrose said. "That doesn’t seem to be the case. These men who are living with their parents are completely detached from the labor market."
Policy Implications: Housing, Labor, and Urban Planning
The research points to critical policy failures, particularly in urban planning and housing. Zoning restrictions and limits on construction are not just making cities prohibitively expensive; they are inadvertently suppressing workforce participation among the very demographic least equipped to absorb these costs. As Penrose writes in her report, "Policies that restrict housing construction inadvertently weaken labor force participation by raising the price of independence."
This perspective reorients the discussion around housing policy from merely affordability to its broader impact on economic engagement. "When we think about housing policy, maybe we’re just thinking about affordability, but it’s also about getting people in the position where they’re able to access the labor market," Penrose argues. She concludes that "Policies that would make housing cheaper in cities like New York should increase participation for men, particularly men without college degrees."
Winship reinforces this call to action. He notes that high-cost-of-living cities like New York and San Francisco, despite their affordability challenges, often present more job opportunities. This creates a "double-edged sword" where the very places with economic dynamism are made inaccessible by restrictive housing policies. "It points to a real villain in the story, which is just these land use regulations and zoning that constrain how much housing can be built," Winship said. "Unfortunately, it’s often the cities that are most economically dynamic and have a lot of amenities, that are actually better at promoting upward mobility, that have these problems with zoning. So that’s definitely an area where policymakers should take a look."
The ‘Sleeper Issue’: The Decline in Marriage
Beyond housing and labor market dynamics, the study implicitly touches upon deeper societal shifts. Women, for the third time in history, now outnumber men in the workforce, and in many instances, are earning more than their male counterparts, often performing more labor at home. Winship echoes previous reports on the growing distancing from traditional values of marriage as a significant, yet often overlooked, factor in this phenomenon.
"I think, sort of the sleeper issue, is the decline in marriage. In the past, a lot of these younger men and working class men would have been married, and therefore they could have tolerated higher housing costs without having to move back home," Winship posited. The traditional model of a dual-income household or one where a primary earner could support a family has been eroded by economic realities and changing social norms. "But because marriage has declined so much, you have a lot of single men, especially among young adults, and more so among working class adults. And when housing is expensive, they’re much more likely to find that financially burdensome than in the past. I think that is kind of underlying a lot of the findings of the paper."
This decline in marriage also influences men’s perceptions of their future roles and responsibilities. "If you’re a young man looking at the situation, you don’t see in the future that you’re going to need to be responsible for a family," Winship concluded. "And they don’t really know what their role is in this new world where they’re not going to be the primary breadwinner. And so that pushes towards working less and potentially living at home with their parents. I think marriage really is the sleeper issue here."
Broader Societal and Economic Repercussions
The implications of these findings extend far beyond individual households. A significant portion of the male population detached from the labor market represents a considerable loss of human capital and economic productivity for the nation. This trend could exacerbate existing social inequalities, contribute to a decline in overall economic growth, and potentially foster feelings of disillusionment and stagnation among young men struggling to achieve traditional markers of adulthood and independence.
The intertwining issues of housing affordability, labor market shifts, and evolving social structures demand a comprehensive policy response. Addressing restrictive zoning laws, investing in education and vocational training programs tailored to current market needs, and fostering pathways to stable employment are crucial steps. Furthermore, understanding the complex interplay of economic and social factors, including the changing dynamics of family formation, is essential for crafting effective solutions that empower all individuals to achieve economic independence and contribute fully to society. The "boomerang generation" of non-college-educated men serves as a stark reminder that the cost of inaction on these fronts is not just economic, but profoundly societal.



