Study: Student loans are killing the housing market
I already knew that my generation isn't like my parents in the sense that one graduates high school, goes off to college, meets someone then gets married and buys a house. However, I had chalked it up to that my generation wanted to explore life and not be so quick to start families because they had lives to live too. It had never crossed my mind that no one could afford a house because of wanting to pursue an education that we're told is the 'right' thing to do.
It makes sense to me after reading the facts of life for a college graduate in today's housing market. If someone has just a monthly student loan payment of $250, reduces a household's buying power by $44,000. This isn't typical though because most people pay $750+, so only the people who are in the highest earning brackets are able to comfortably pay a mortgage.
The writer gave great insight as a college graduate who once had $60,000 in debt when all was said and done. They advised to take the high earning jobs when they are offered as opposed to working for a non-profit or something similar while you still have student loan debt. I think this is good advice because it's true. We are living longer so there will most likely be a right time to have a job where you feel like you're making a difference.
However, the real problem is that higher education is simply overpriced. Families shouldn't have to make financial suicide by taking out high interest loans in order to maybe ensure a better life post-graduation. The only solution would be to conduct a seriously drastic overhaul of the way we treat higher education and how it is paid for. Without solving this root problem, we're bound to never have stability for a majority of people once who attend and graduate college.
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