lol...dude move the fuck out of the house. Okay to be fair, I've got close friends in India who I know live with their families their entire lives as part of their culture/religion...and this is actually something they like to do as well (As an American, this is very hard for most of us to understand, as growing up and becoming adult and moving out of the house is all kids want as they grow up..that's what we look forward to) and maybe this is the case with your friend? If so, if he chooses to live with them as an adult because of cultural reasons..than I would say be honest. I'd also say sorry but I'm a damn adult, I can bet if I want to.
Sounds like he's got enough money to leave the house now if he wants.