Why young adults are fleeing New York — and why Long Island is holding steady — for now

For many young New Yorkers, the math just isn’t adding up anymore.

Some young adults are leaving the state in search of affordability, according to a new analysis from state Comptroller Thomas DiNapoli. The December report finds that Gen Z and millennials are struggling to achieve financial stability while contending with mounting debt and a tough job market amid a statewide affordability crisis.

“Young adults are dealing with mounting obstacles to achieving financial stability and independence,” DiNapoli said in a news release. “They face a shrinking pool of entry-level jobs and rising unemployment, driven in part by AI. Increasing housing costs along with growing debt are also making it increasingly difficult for them to live independently and build their future.”

Despite its own high costs, Long Island bucked the statewide trend, with its population of young adults growing 3.6% over the past decade. After New York City, Long Island has more young adults than any other region in the state.

Adults 34 and younger made up nearly a quarter of the state population in 2023, and make up one in five Long Islanders, according to the report.

“The major industries on Long Island — health care, technology, financial services — continue to do very very well and are stable," said Steven Kent, chief economist for the Long Island Association. "Also, I think parts of Long Island give a downtown feel, making it more appealing to young people.”

Long Island draws students through its higher education system who later stay, he added. 

But elsewhere in the state, the outlook is bleaker. Rising costs and unemployment have fueled concerns of brain drain as young residents seek opportunities out of state.

In 2023, young adults spent more than two-thirds of their income on necessities like food, transportation and housing, the report said. Since 2018, spending on those essentials grew 39.3%, while income rose only 26.1%.

A 60% rise in housing costs has led more young people to live with their parents.

Meanwhile, debt held by this demographic — particularly credit card and student loans — has skyrocketed 67.8% since 2013.

Higher education, higher stakes: Navigating a shifting job market

Even though young adults in 2025 are more likely to have attended college than a decade ago, they’re finding a tighter job market, especially for entry-level tech roles facing growing competition from artificial intelligence.

Kent believes the trend could reverse as AI speeds up commerce, requiring workers who can handle the pace.

"I think many Long Islanders will be able to do that, especially young people," he said. 

Young adults on Long Island are feeling that reality, navigating what seems like a "blurry" future post-graduation, said Dan Lloyd, founder and president of Minority Millennials, a nonprofit focused on empowering young people of color on Long Island. 

"When we talk to young people, this reflects what they're telling us. They're getting educated, they're going to school, but they can't find jobs," he said, calling for immediate investment to help graduates compete with AI.

The report highlighted an 8.6% unemployment rate in New York for young adults in 2023, higher than the national rate for that demographic and more than double the average unemployment rate in the state. The unemployment rate is higher among young African Americans and Hispanics, according to the report. 

"If Long Island wants to keep its next generation, it needs to stop treating independence like a luxury," said Lloyd, 39, a millennial who founded the group 10 years ago in part to address the crisis of housing and affordability for young people in the region. 

Protecting the growth

Kent noted that while Long Island is not seeing a brain drain yet, the region needs to prioritize affordable housing and faster, more reliable public transportation.  

DiNapoli echoed that sentiment, stating that New York must improve access to professional development to hang onto its youth.

“Retaining the state’s young workforce is a critical component of New York’s prospects for its long-term economic growth and prosperity,” he said in a statement.

Hunter Gross, a millennial and the president of the Huntington Township Housing Coalition, said he has friends who have left for states with more affordable starter homes.

"Young people pretty much have given up on the dream so far of home ownership on Long Island because nothing is affordable," Gross said. "When wages aren't keeping up with inflation and people can't afford to buy a home, everything is out of reach."