Young adults have fewer cars now than before the recession

February 22, 2013 12:00 AM

A recent study from the Pew Research Center found that, while adults under age 35 are carrying less debt than before the recession, but they also own fewer cars. 

In 2007, about 73 percent of households with an adult under age 25 at the head owned or leased at least one car - a number that dropped to 66 percent in 2011. However, the average vehicle debt in these households also fell from $13,000 to $10,000, which could signify more drivers taking advantage of affordable and efficient model cars instead of luxury vehicles and using auto repair to keep older cars running longer. 

NBC News reports that this downswing could be stemming from the job market. Young people are staying in school longer and taking more time to settle in careers, which in turn is putting off buying home, getting married and starting a family. As such, there's less of a need for them to buy things like cars and homes. Banks are also being more cautious about who they lend to, making it more difficult for individuals who want to settle down to secure loans that can help them do so. 

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