Research by Barratt Homes has revealed that ‘boomerang kids’ who live in the capital are saving up to £17,000.
How are they able to save such a bulky sum? By living with their parents rent free or paying little rent or just helping with other finances around the house.
The survey of over 1,000 parents found that 98% believe children from 18 to 34 should contribute financially towards the household.
But over half don’t actually charge their children anything – lucky for them!
Those that do are paying 90 percent less than the average cost of rent, bills, food and general living costs in the UK.
That balances to saving about £500 each month and over £1,500 for those in London, compared to what they’d be spending living away from home in a shared flat.
The bank of Mum and Dad also serves as the hotel of Mum and Dad. Not only are parents financially helping their children get onto the property ladder, but they are also now playing the role of landlord too, therefore having to charge them for bills, food, and toiletries.
The research defines the boomerang generation as those aged over 18, who have returned to the family home having previously lived away. Often moving out for university.
Speaking to you.co.uk, Adesuwa, a 24-year-old living in South London says she feels ‘privileged’ enough to live at home for free of charge with her mother and sister.
However, she does fork out money for the weekly food shop for the house. She has managed to rank up a whopping £15,000 in savings since she moved back home from university in 2016.
‘Adesuwa is really keen to get on the property ladder but the more she looks into it ‘the more scary and unrealistic it feels’.
‘Banks will only give you a loan which is up to 5 time your salary which means you’ll have to find the additional finances to pay for a house,’ she said.
Although living at home allows the management consultant to put a lot of money aside, she said it comes with a cost.