A new study by the National Association of Realtors (NAR) and the American Student Assistance shows that the weight of student debt can cause new home buyers to delay entering the housing market by seven years. 

The U.S. currently has a student debt load of $1.4 trillion, which accounts for 10 percent of all outstanding debt and 35 percent of non-housing debt. The magnitude of the debt continues to grow in size and share of the overall debt in the economy. While this amount of debt has risen, the homeownership rate has fallen and fallen more steeply among younger generations.

Student loan debt impacts other life decisions including employment, the state the debt holder lives in, life choices such as continuing education, starting a family and retirement.

Twenty-two percent were delayed by at least two years in moving out of a family member’s home after college due to their student loans.

Among non-homeowners, 83 percent cite student loan debt as the factor delaying them from buying a home. This is most frequently the case because the borrowers cannot save for a down payment because of their student debt.  Among homeowners, 28 percent say student debt is impacting the ability to sell their existing home and move to a different home. The delay in buying a home among non-homeowners is seven years and three years for homeowners.