Adult children living with parents distorts property market

More and more young Irish people are living 'at home'

A new report shows that grown up children are staying longer in the family home.

According to property consultants, Savills Ireland, one-quarter of married couples in Ireland are now living with adult children over the age of 20.

Trading down has fallen from 13.4% of housing sales in 2014 to 5.3% last year as fewer 'empty nesters' look to downsize.

This is despite continued increases in the number of older people in the general population and the fact that the average price gap between traders down selling and re-purchasing is €345,129.

"Adult children are taking longer to fly the nest due to high house prices and rents. New Census figures show that, despite an overall decline of 87,282 in the number of 20 somethings since 2011, the number of couples living with children aged 20 and over has risen," Dr. John McCartney, director of research at Savills Ireland commented.

"This trend is particularly evident in less affluent areas where family money may not be available to help young adults onto the housing ladder," he added.

The fact the house prices are still rising is also adding to this trend, as potential buyers are stalling in the hope that they'll be able to get a better deal selling at a later date.

Given the supply squeeze across the market, there has also been a lack of properties for downsizers to move into - although Savills notes that more appropriate homes are coming on the market.