Is the “Independent Living” Trend Just a Capitalist Trap?

Moving out of your parents’ home in your late teens or early 20s is seen as a rite of passage in the US and other (mostly Western) countries that value individualism and independence.

However, these days, more and more young adults in the US aren’t able to do that, mostly because it’s gotten too expensive.

Many people are worried about this. 13 In a Pew Research Center report, 36% of respondents said they think that the trend of living at home in adulthood is bad for society, while just 16% say it’s good. There’s still a stigma around failing to move out at 18.

But is living at home really that bad, or is it a sensible financial strategy to survive in an economy that’s getting more and more brutal? Is the cultural expectation that young people will move out due for an overhaul?

01. The rise of independent living in the US

Individualism has been embedded in the American identity from the very beginning, but parents didn’t always expect young adults to move out. 1 Living in multigenerational households was the social norm for most of American history. 2

All the way back in 1850, nearly 70% of people aged 65 or older lived with their adult children (compared to fewer than 15% by the end of the 20th century). 3 That’s because many people were farmers and needed as many hands as possible to help out. 2

Between the late 19th and early 20th centuries, the US transitioned into an industrial economy. 4 Young people found job opportunities in large cities and gained economic independence, which was a key factor that led to the decline of multigenerational households during the post-World War II era. 3

Since then, the US has made moving out after graduating high school or college the norm. Most people view it as a key marker of maturity and self-sufficiency.

When people keep living with their parents, it’s often seen as an indicator of a “failure to launch,” as one Redditor put it.

A red barn in the middle of a field. — Prior to the Industrial Revolution, US families typically lived and worked on their farms together.

02. The cost of living independently

There are many benefits of living independently in adulthood. You have privacy and complete control over your life, there’s more room for personal growth, and you don’t have to pay the “emotional tax” of living at home.

A viral social media post said that when you live with your parents for free, you actually “pay with your mental health.” Many users related to the statement, which has some truth to it.

A therapist who spoke to Now Toronto said that it’s possible for adults in their 20s and 30s living with their parents to face “depression, low self-esteem, and anxiety.” This can happen due to rocky parental relationships or a sense of inadequacy and underachievement, she said.

Despite this, some people just can’t afford to move out or have other life circumstances keeping them from doing so.

Fortunately, there are also upsides to living with your parents. That’s because there are many hidden costs of living on your own that people don’t talk about enough.

The financial costs of living independently

Moving out is a financial burden at any age, but it’s especially hard for those in their 20s who don’t have much in savings and are still launching their careers.

For most people, the most costly expense of living independently is rent. According to Zillow, an online real estate and rental marketplace, the average monthly rent for a one-bedroom apartment in the US as of early 2026 is $1,500. 5 That’s around a third of the average monthly income of young US adults aged 25 to 34. 6

By comparison, in 1990, the median monthly rent was just $374, which was about one-sixth of the average monthly income for that same age group. 7 8

What’s more, without family around to split the bills and help maintain the household, you have to shell out extra money for other necessities, such as utilities, home repairs, furniture, groceries, transportation, and childcare.

All this is why a study by the Federal Reserve System, the central bank of the US, found that the annual spending of adult children who move out is about $13,000 higher than that of their counterparts who continue to live at home.

Having roommates can take some financial strain off your shoulders, but you should still be prepared for your wallet to take a hit once you move out.

A woman calculating her living expenses. — Most young adults who move out spend much more than their counterparts who live at home.

The emotional costs of living independently

Aside from struggling to save money, it can be easy to get burnt out when you move out and have to handle everything on your own.

Chores like cooking and cleaning can be done more efficiently when there are multiple people in the household. Particularly if you have children, having family members around to share childcare responsibilities can be a godsend.

Moreover, young adults finding their feet in new cities or jobs on their own can feel lonely and disoriented. 9

Some therapists and researchers say that moving out often makes people, especially young adults, more prone to anxiety and depression. 10 Even worse, people who are struggling often stay home and cancel plans with friends more frequently, creating a cycle of isolation. 10

03. Living at home is the norm in many cultures

While the US has a stigma against living in multigenerational households, many cultures across Asia, Africa, the Middle East, Latin America, and Southern Europe value and continue the tradition. 11

These cultures have tight-knit family structures which many people believe emphasize respect for elders, the importance of kinship, and the collective well-being of everyone, including extended family. 11

Luma Simms, a Fellow at the Ethics and Public Policy Center, wrote in an essay published by the Institute for Family Studies that, “My [Iraqi] culture strongly encourages young adults to stay living at home until marriage. Even if they go away to college, young adults return home upon graduation.”

Simms said that this living arrangement expands the family’s social and economic capital by allowing adult children to save money, contribute financially, and strengthen their bonds with their parents and extended family.

An Asian grandma having fun with her grandchildren. — Multigenerational households are very common in many parts of the world outside the West.

04. The independent living trend is shifting

Although living with parents still isn’t the norm in the US, a growing number of young adults are moving back home or delaying moving out.

A Pew Research Center study found that in the start of the 2020s, the share of US adults aged 25 to 34 living in multigenerational households was nearly triple what it was 50 years ago, reaching 25% in 2021. Financial issues, including rising student debt, rental costs, and inflation, are reportedly the main reasons. 12

People are also starting to question the real beneficiaries of the “moving out at 18” norm. A popular Reddit post in the r/antiwork subreddit called the whole idea a “capitalist psyop” that primarily benefits landlords and corporations.

“It’s not about independence, it’s about profits. The more isolated we are, the more we have to buy. The system makes more money off 5 struggling adults than from one solid household,” the post read.

Many users resonated with the statement. “It’s also very much a construct of the Western world. People all across Asia and Africa think those of us in Western nations are insane for moving out so early,” said one Reddit user.

Of course, not everyone wants to live with their parents, either (and not everyone has the option). There’s nothing wrong with moving out upon reaching adulthood.

However, posts like these suggest that people are coming around to the idea that it isn’t inherently the better choice. Societal expectations are changing, and people are gradually seeing the value in alternative ways of living.