Student loans can significantly affect your adulthood–especially when getting your own home. You might be thinking–should I pay off my student loans first before getting a new home? Will I be able to qualify for a decent mortgage even if I have unpaid student loans?
If you’re one of the people who have the same questions, this blog is for you. We will show you how your student loans can affect your homeownership.
Do you have to delay your homeownership for your student loans?
You’re not alone if you’re concerned that your student loans will force you to postpone your house plans. Many first-time purchasers assume they must postpone their purchases. The National Association of Realtors (NAR) reports the following:
“When asked explicitly about buying a home, half of the nonhomeowners (51 percent) believe student loan debt prevents them from doing so.”
While your doubt has a point, here’s the truth–you don’t have to delay your homeownership plans because of your student loans.
Can you get a mortgage with an unpaid student loan?
According to the same NAR research, many current homeowners have student loan debt:
“Student debt accounted for nearly a quarter of all home buyers, and 37 percent of first-time buyers, with an average debt of $30,000.”
That suggests that others in comparable circumstances were able to qualify for and purchase property despite having student loan debt. You might be able to do the same, particularly if you have a consistent salary. This is how Apartment Therapy puts it:
“. . . Experts claim it is possible to buy a home with student loans. According to the National Association of Realtors, 40% of first-time homeowners have student loan debt.
In short, your student loans shouldn’t stop you from reaching your goals, especially buying your own house.