The headline doesn’t make sense but it is a true statement. As taken from a recent article in REALTOR magazine, a recent federal study found that the cost of getting a college degree is keeping many grads from home ownership for about seven years. I can personally state that the amount of student loans is sometimes staggering as I’ve reviewed hundreds of applications of recent grads whose debt to income ratio is way out of proportion which is one of the reasons they are renting. It’s not uncommon to see a student loan payment of $500 a month coupled with a new car payment (hey I just graduated why not treat myself) of $450 and credit card debt of $250 a month. Subtract what the feds take out in income tax, social security etc. and all of sudden there is too much month left at the end of the pay check. Couple this with the fact that millennials are predisposed to move around anyway and you can make a good case for own well placed residential real estate to accommodate their life style.
If you didn’t catch the news, Apple is expanding in north Austin and will add 5,000 new jobs and a recent report states that the Austin population will grow to over 1,000,000 by 2021.
Now aren’t you glad that you own Austin area residential real estate!
Rick Ebert / Austin, Texas / 17 Jan 19