Housing Costs Drive Men Out of the Workforce
Rising housing costs and stagnant wage growth for non-college-educated men are driving a significant decline in male labor force participation, according to research by Gabrielle Penrose, a graduate student fellow at the American Institute for Boys and Men. Data indicates that men are increasingly moving back into parental homes as a rational response to unaffordable rent. This trend correlates with a 20 percentage point decrease in workforce participation for those living with parents compared to those living independently.
The Math Behind the Migration Home
Research conducted by Gabrielle Penrose, a graduate student fellow at the American Institute for Boys and Men, highlights a direct correlation between the 150% increase in real U.S. rents since 1960 and the diminishing workforce engagement of men without college degrees. As manufacturing jobs have declined and wage growth for this demographic has stagnated, the cost of independent living has become prohibitive.
Penrose’s analysis utilizes geographic constraints—such as coastlines and mountainous terrain—as a proxy for housing supply limitations. Her findings show that a 10% increase in local rent prices is associated with a 1.1 percentage point increase in the likelihood of a non-college-educated man moving in with his parents. Once these men return home, their detachment from the labor market often increases. Current data suggests that housing costs may account for approximately one-third of the total decline in employment among this group.
The Role of Boomer Housing Wealth
The rise in men living with parents is supported by an environment where baby boomer parents often possess significant housing wealth. According to the National Association of Realtors’ (NAR) 2026 Generation Trends report, one-quarter of baby boomers recently purchased multigenerational homes. Brandi Snowden, director of member and consumer survey research at the NAR, notes that this trend allows older generations to accommodate adult children who are otherwise priced out of the housing market.
While the share of men between 25 and 45 living with their parents has nearly doubled since the 1960s—rising from 7% to 12%—the pattern is distinct for men compared to women. When accounting for childcare responsibilities, the labor force participation patterns of women without college degrees begin to mirror those of their male counterparts, suggesting that the primary driver for labor detachment is the ability to secure independent housing.
Zoning Restrictions Create a Double-Edged Sword
Scott Winship, director of the Center on Opportunity and Social Mobility at the American Enterprise Institute (AEI), emphasizes that the current generation of non-college-educated men faces greater systemic disadvantages than previous cohorts. With roughly 40% of young adults now holding bachelor’s degrees, those without them occupy a more marginalized position in the modern economy.
Winship identifies land-use regulations and zoning restrictions as significant contributors to the crisis. While cities with high job density, such as New York and San Francisco, offer more opportunities, their restrictive building policies artificially inflate rents. These policies create a “double-edged sword” where the cost of living in an economically dynamic area prevents the very individuals who need jobs from establishing the independence required to pursue them.
Marriage Decline and the Breadwinner Shift
Beyond housing and economics, the decline in marriage is a critical factor in understanding current labor trends. Winship notes that in previous decades, marriage provided a financial structure that allowed working-class men to manage higher housing costs.
“The sleeper issue is the decline in marriage,” Winship stated. “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.”
As the role of the traditional breadwinner shifts and marriage rates among young adults continue to fall, many men are increasingly detached from the financial incentives that historically drove workforce participation. This lack of clear future responsibility for a family, combined with high barriers to entry in the housing market, continues to suppress labor force engagement across the United States.
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