Americans squeezing in together to save money; survey suggests Portland misses 46,000 households
Almost a third more American adults lived together 12 years after the turn of the century than they did in 2000, meaning that the economy has missed the formation of an expected 5.4 million households, according to a new report from Zillow, the online residential real estate marketplace.
The Portland metropolitan area would have more than 46,000 additional households if residents had lived together in the same proportions as they did in 2000, the report says.
In Portland, the size of the average household has grown from 1.72 working-age adults in 2000 to 1.82 in 2012. That’s close to the national trend, according to Zillow.
Zillow says the crowding at home reflects “stagnant incomes and rising rents.” Stan Humphries, the firm’s chief economist, says the results helps explain the nation’s relatively weak home sales but represent significant pent-up demand for housing.
If conditions improve, he said, household growth could outrun population growth and deliver a boost to the economy.
The Zillow report comes on the heels of a report last week from the Oregon Office of Economic Analysis that suggests housing construction hasn’t kept up with Oregon’s growth in population.