Don’t Let Your Student Loans Delay Your Homeownership Plans
If you're burdened with student loans and considering purchasing a home, you likely have inquiries about how this debt impacts your aspirations. Must you postpone homeownership until clearing these loans, or could you potentially secure a home loan despite this debt? Here's an overview of the most recent data to equip you with the necessary answers.
A Bankrate article explains:
“Roughly 60 percent of U.S. adults who have held student loan debt have put off making important financial decisions due to that debt . . . For Gen Z and millennial borrowers alone, that number rises to 70 percent.”
This encompasses one of the most significant financial choices you'll encounter: purchasing a home. However, it's essential to recognize that delaying this decision due to student loans may not be obligatory. While individual circumstances vary, your objective might be more attainable than you think. Here's why.
Can You Qualify for a Home Loan if You Have Student Loans?
Based on an annual report by the National Association of Realtors (NAR), 38% of first-time buyers carried student loan debt, with the average amount being $30,000.
This indicates that individuals in analogous circumstances successfully qualified for and purchased homes despite having student loans. You might find yourself in a similar position, particularly if you maintain a consistent income stream.
As noted in an article by Bankrate:
“. . . you can have student loans and a mortgage at the same time. . . . If you have student loans and want a mortgage, there are multiple home loan programs you might qualify for . . .”
The main point to remember is that for numerous individuals, owning a home remains attainable despite having student loans.
You don’t need to navigate this alone. The most effective approach to discerning your objectives and subsequent actions is to consult with professionals. A reputable lender can guide you through your options according to your circumstances and provide insights based on successful strategies employed by other buyers.
Bottom Line
Many individuals with student loan debt successfully purchase their own homes. Discuss your options with a lender to assess your progress and determine how close you are to achieving your goal, let’s connect.
