SEATTLE, June 16, 2017 /PRNewswire/
-- Upper-middle-class families are more likely than low or
upper-class
familiesi to rely
on their extended family for childcare, according to the Zillow®
Housing Aspirations Report™
(ZHAR)ii.
Almost 40 percent of upper-middle class parents surveyed said
they rely on extended family for childcare, compared 29 percent of
low-income parents and 33 percent of high-income parents.
Zillow's finding highlights another way middle-class families
are struggling to get ahead as living expenses and commercial
childcare costs soar and incomes remain flat.
Incomes are up 2.6 percent over the past year, while home values
are up over 7 percent. Housing affordability is a growing concern
across the country, and in some of the most expensive housing
markets, a typical mortgage payment requires 40 percent or more of
the area's median monthly income.
Commercial childcare can cost up to $21,000 a
yeariii, which
only the most affluent households can afford. Some parents in
families making the least may not earn enough at a full or
part-time job to cover the cost of childcare, so having a
stay-at-home parent often makes financial sense.
But the families in the middle, often with two working parents
making moderate incomes, can't afford to send their kids to
childcare and also can't afford for one parent to stay home.
"Housing costs and child care are among the two largest budget
items for working families, costing as much $43,000 a year in urban areas and over
$34,000 a year in the suburbs," said
Zillow Chief Economist Dr. Svenja
Gudell. "While many Americans are tied to the places they
live for a variety of personal and financial reasons, it's
necessary for some households to live near family in order to make
ends meet. Sometimes extended family might move together to provide
childcare, or grandparents might even follow their children when
they move to a new city to help care for their grandkids."
About 26 percent of respondents said proximity to family drives
their decision about where to live. This trend is more pronounced
among low-income households in the nation's most expensive housing
markets. In San Francisco, for
example, almost half of all low-income respondents said family
completely impacts their decision on where to live.
Across all income brackets, 33 percent of American households
with children rely on extended family for childcare assistance.
Almost one-in-five households said they get help from family to
cover living expenses, and 11 percent turn to extended family for
help with eldercare.
Income Level
|
Households with Kids Who Rely on Extended Family for
Childcare
|
Proximity to Extended Family Completely Impacts
Decision of Where to Live
|
Households with a Full Time
Stay-at-Home-Parentiv
|
Lowest
|
28%
|
32%
|
41%
|
Low
|
29%
|
27%
|
32%
|
Median
|
32%
|
27%
|
26%
|
High
|
40%
|
23%
|
21%
|
Highest
|
33%
|
22%
|
19%
|
Metro
|
Classification
|
Property Taxes and
Mortgage Payment (Annual)
|
Annual Child Care
Costs (Child Care Center for 2 Kids)
|
Total Annual
Housing and Child Care Expenses
|
United
States
|
Suburban
|
$ 15,006
|
$
19,573
|
$ 34,579
|
United
States
|
Urban
|
$ 22,271
|
$
21,381
|
$ 43,652
|
Atlanta,
GA
|
Suburban
|
$ 13,569
|
$
17,236
|
$ 30,805
|
Atlanta,
GA
|
Urban
|
$ 22,435
|
$
20,927
|
$ 43,362
|
Austin, TX
|
Suburban
|
$ 17,279
|
$
18,989
|
$ 36,268
|
Austin, TX
|
Urban
|
$ 25,661
|
$
22,129
|
$ 47,790
|
Baltimore,
MD
|
Suburban
|
$ 15,568
|
$
19,493
|
$ 35,061
|
Baltimore,
MD
|
Urban
|
$ 5,904
|
$
18,367
|
$ 24,271
|
Birmingham,
AL
|
Suburban
|
$ 13,338
|
$
20,820
|
$ 34,158
|
Birmingham,
AL
|
Urban
|
$ 16,498
|
$
18,356
|
$ 34,854
|
Boston, MA
|
Suburban
|
$ 24,483
|
$
27,078
|
$ 51,561
|
Boston, MA
|
Urban
|
$ 32,130
|
$
27,507
|
$ 59,637
|
Chicago,
IL
|
Suburban
|
$ 28,408
|
$
20,386
|
$ 48,794
|
Chicago,
IL
|
Urban
|
$ 45,335
|
$
21,931
|
$ 67,266
|
Cincinnati,
OH
|
Suburban
|
$ 15,267
|
$
16,613
|
$ 31,880
|
Cincinnati,
OH
|
Urban
|
$ 12,607
|
$
13,759
|
$ 26,366
|
Cleveland,
OH
|
Suburban
|
$ 15,134
|
$
17,513
|
$ 32,647
|
Cleveland,
OH
|
Urban
|
$ 7,625
|
$
15,988
|
$ 23,613
|
Dallas-Fort Worth,
TX
|
Suburban
|
$ 14,342
|
$
16,373
|
$ 30,715
|
Dallas-Fort Worth,
TX
|
Urban
|
$ 24,417
|
$
20,426
|
$ 44,843
|
Denver, CO
|
Suburban
|
$ 44,875
|
$
21,184
|
$ 66,059
|
Denver, CO
|
Urban
|
$ 40,564
|
$
21,860
|
$ 62,424
|
Houston,
TX
|
Suburban
|
$ 12,584
|
$
15,268
|
$ 27,852
|
Houston,
TX
|
Urban
|
$ 16,538
|
$
16,682
|
$ 33,220
|
Las Vegas,
NV
|
Suburban
|
$ 15,934
|
$
17,711
|
$ 33,645
|
Las Vegas,
NV
|
Urban
|
$ 10,481
|
$
15,846
|
$ 26,327
|
Los Angeles-Long
Beach-Anaheim, CA
|
Suburban
|
$ 34,943
|
$
21,280
|
$ 56,223
|
Los Angeles-Long
Beach-Anaheim, CA
|
Urban
|
$ 34,042
|
$
21,774
|
$ 55,816
|
Miami-Fort
Lauderdale, FL
|
Suburban
|
$ 16,298
|
$
16,860
|
$ 33,158
|
Miami-Fort
Lauderdale, FL
|
Urban
|
$ 16,437
|
$
18,664
|
$ 35,101
|
Milwaukee,
WI
|
Suburban
|
$ 14,100
|
$
21,246
|
$ 35,346
|
Milwaukee,
WI
|
Urban
|
$ 7,431
|
$
19,688
|
$ 27,119
|
Minneapolis-St Paul,
MN
|
Suburban
|
$ 14,899
|
$
19,970
|
$ 34,869
|
Minneapolis-St Paul,
MN
|
Urban
|
$ 14,710
|
$
24,089
|
$ 38,799
|
New Orleans,
LA
|
Suburban
|
$ 25,180
|
$
14,165
|
$ 39,345
|
New Orleans,
LA
|
Urban
|
$
23,675
|
$
14,834
|
$ 38,509
|
New York,
NY
|
Suburban
|
$
28,668
|
$
23,253
|
$ 51,921
|
New York,
NY
|
Urban
|
$
101,590
|
$
21,568
|
$ 123,158
|
Philadelphia,
PA
|
Suburban
|
$
19,439
|
$
19,575
|
$ 39,014
|
Philadelphia,
PA
|
Urban
|
$ 7,402
|
$
17,753
|
$ 25,155
|
Phoenix,
AZ
|
Suburban
|
$ 32,097
|
$
17,110
|
$ 49,207
|
Phoenix,
AZ
|
Urban
|
$
26,893
|
$
15,747
|
$ 42,640
|
Pittsburgh,
PA
|
Suburban
|
$ 10,988
|
$
17,185
|
$ 28,173
|
Pittsburgh,
PA
|
Urban
|
$ 6,916
|
$
16,999
|
$ 23,915
|
Portland,
OR
|
Suburban
|
$ 21,909
|
$
19,938
|
$ 41,847
|
Portland,
OR
|
Urban
|
$ 26,575
|
$
23,270
|
$ 49,845
|
Providence,
RI
|
Suburban
|
$ 16,394
|
$
20,473
|
$ 36,867
|
Providence,
RI
|
Urban
|
$ 12,389
|
$
17,504
|
$ 29,893
|
Sacramento,
CA
|
Suburban
|
$ 19,555
|
$
18,873
|
$ 38,428
|
Sacramento,
CA
|
Urban
|
$ 25,847
|
$
23,403
|
$ 49,250
|
San Antonio,
TX
|
Suburban
|
$ 11,378
|
$
16,135
|
$ 27,513
|
San Antonio,
TX
|
Urban
|
$ 8,126
|
$
16,913
|
$ 25,039
|
San Diego,
CA
|
Suburban
|
$ 30,996
|
$
21,398
|
$ 52,394
|
San Diego,
CA
|
Urban
|
$ 27,803
|
$
20,036
|
$ 47,839
|
San Francisco,
CA
|
Suburban
|
$ 46,087
|
$
26,177
|
$ 72,264
|
San Francisco,
CA
|
Urban
|
$ 52,730
|
$
32,094
|
$ 84,824
|
San Jose,
CA
|
Suburban
|
$ 59,539
|
$
27,991
|
$ 87,530
|
San Jose,
CA
|
Urban
|
$ 55,388
|
$
30,514
|
$ 85,902
|
Seattle,
WA
|
Suburban
|
$ 21,289
|
$
22,003
|
$ 43,292
|
Seattle,
WA
|
Urban
|
$ 28,349
|
$
26,319
|
$ 54,668
|
Washington,
DC
|
Suburban
|
$ 21,425
|
$
21,660
|
$ 43,085
|
Washington,
DC
|
Urban
|
$ 28,134
|
$
27,783
|
$ 55,917
|
Zillow
Zillow® is the leading real estate and rental marketplace
dedicated to empowering consumers with data, inspiration and
knowledge around the place they call home, and connecting them with
the best local professionals who can help. In addition, Zillow
operates an industry-leading economics and analytics bureau led by
Zillow's Chief Economist Dr. Svenja
Gudell. Dr. Gudell and her team of economists and
data analysts produce extensive housing data and research covering
more than 450 markets at Zillow Real Estate Research. Zillow also
sponsors the quarterly Zillow Home Price Expectations Survey, which
asks more than 100 leading economists, real estate experts and
investment and market strategists to predict the path of the Zillow
Home Value Index over the next five years. Launched in 2006, Zillow
is owned and operated by Zillow Group (NASDAQ:Z and
ZG), and headquartered in Seattle.
Zillow is a registered trademark of Zillow, Inc.
i For
this analysis, Zillow divided annual household incomes into five
levels for each metro area, resulting in income levels ranging from
lowest to highest. Upper-middle class for this analysis is defined
as the second-highest income quintile.
ii The
Zillow Housing Aspirations Report is computed from an Ipsos poll
which combines sample of 10,000 U.S. adults from 20 U.S. core-based
statistical area (CBSA) metropolitans (Atlanta, Boston, Chicago, Dallas, Denver, Detroit, Los
Angeles, Las Vegas,
Miami, Minneapolis, New
York, Philadelphia,
Phoenix, St. Louis, San
Diego, San Francisco,
San Jose, Seattle, Tampa, and Washington, D.C.) age 18+, surveyed online in
English. The survey has a credibility interval of plus or minus 1.1
percentage points for all respondents from the 20 U.S.
metropolitans and approximately 5.0 percentage points for an
individual U.S. metropolitan. Post-hoc weights were made to
the population characteristics on gender, age, region, and race and
ethnicity. This version of the survey was conducted March 1st – 15th, 2017. For
more information about conducting research intended for public
release or Ipsos' online polling methodology, please visit
the Public Opinion Polling and Communication
page.
iii Zillow
analysis on living expenses in urban vs. suburban neighborhoods
here.
iv Among
households with at least one child, 2015.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/upper-middle-class-most-likely-to-rely-on-family-for-childcare-300475107.html
SOURCE Zillow