Delayed independence ‒ and what it means for our housing market

Sunday, 1 March 2026

OPINION: When I left home at 17, it wasn’t a carefully considered financial strategy.

I moved from Tauranga to Hamilton to go to university, the first in my family to do so. I lived in the halls of residence. My student loan for living costs was $120 a week, and my weekly rent in the halls was $150, so I needed to work to get by. In those days, a typical student loan was around $20,000, and by the time I graduated, mine was pushing $44,000.

In reality, I barely had a beer budget, let alone champagne. But claiming my independence felt non-negotiable. Moving out was a rite of passage.

Today, that transition looks a little different for many young people. Across New Zealand, more young adults are staying at home for longer. Many are not just studying. They are working full-time. ‘Living with the olds’ is no longer a short stop between uni and “real life”.

For some, it has become a deliberate financial decision.

At home, my soon-to-be 21-year-old still lives with us, as do many of his peers with their parents. At that age, I was already juggling rent and shared power bills. For him, staying home a little longer feels entirely ordinary.

The financial environment young people are stepping into today is tougher in many ways.

Every generation will claim they have high rents and big bills, but this one is also navigating something new. Previous generations didn’t grow up with the constant visibility now glowing from a screen a few inches from our faces. What other people are buying, upgrading or doing next is always just a scroll away.

Young adults today find themselves navigating a world where maintaining a certain image isn’t just a personal choice, it’s almost a social requirement. From multi-step skincare routines to branded water bottles and subscription everything, the cost of “fitting in” has escalated.

This isn’t a “kids these days” lecture about avocado on toast. Every generation has its pressures and its indulgences. As parents, we have to look at the world our kids are actually growing up in, not the one we remember.

A generation ago, a student might have gotten by on instant noodles and a basic phone plan; today, there’s a whole new layer of expenses. It is a different financial and psychological environment from the one many of us stepped into at 17 or 18.

But this may not just be about money.

Almost every major milestone is happening later than it once did. Earlier generations were often married in their early twenties. Many had children not long after. Forming a new household happened earlier as a matter of course.

Now, marriage is later. Parenthood is later. Buying a home is later. It should perhaps be no surprise that leaving home is later too.

From a property market perspective, this is where it gets interesting. realestate.co.nz rental stock trending has been upwards for more than 18 months. Economists are telling us that the growth in property values won’t continue at the same rate that they have in the last few decades. And I can’t help but wonder if this broader recalibration of when adulthood begins is a contributing factor. Is this the impact of fewer young tenants entering the market?

Living at home for longer can have its benefits. It can allow young people to save, pay down debt or build a deposit. Multi-generational living is common in many cultures, and, actually, it’s nice having Mr 21 around.

But it is worth asking whether there are unintended consequences of delaying adulthood.

Independence teaches more than how to split a power bill. It builds resilience, financial capability and confidence. It forces trade-offs. It sharpens decision-making. If those experiences are delayed, does that change how well-prepared they are for making the big financial decisions or backing themselves at work?

As both a parent and someone who watches property data closely, I can see how lifestyle shifts influence the market. The Kiwi dream has always evolved. The quarter-acre section gave way to townhouses and apartments. A first home is now often a flat with a mortgage rather than the family starter home of earlier generations. Expectations have changed.

Perhaps this is simply another generational transition. Or perhaps we are witnessing a more fundamental reshaping of how and when young New Zealanders step into independence.

Either way, when the timing of independence shifts, markets shift with it. That is something we should be paying attention to.

Vanessa Williams is a spokesperson for realestate.co.nz.