Student Debt May Be Sabotaging Your Shot at Buying a Home
Student debt is making a mess of people's finances, undermining their chances of buying a house, according to the New York Fed
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Student debt continued its decade-long explosion last year, quietly undermining many young people's chances of buying a home, according to data from the Federal Reserve Bank of New York. A blog post published on Wednesday by the New York Fed presented data that elaborates on a report published earlier this week showing that student debt grew to nearly $1.2 trillion in 2014, the biggest-ever figure, as more people took out larger loans.
The average balance for each borrower has grown by 74 percent in the last decade, mushrooming from $15,000 per person in 2004 to $27,000 in 2014, said the report, which was based on a nationally representative sample taken from anonymous Equifax credit data.