Real estate and auctions are a tough business, as they depend on a fluctuating economy and people’s faith in the market. Sometimes that faith is shattered and people shy away from making smart investments in favor of playing it safe due to the possibility of risk.
For the past few years, many attribute this lack of faith to many things, one of the major ones being student loan debt. Is student loan debt really hurting American’s housing market? Is crippling student debt and an ever-increasing anxiety in our young people eradicating a generation of homeowners? Thankfully, the answer seems to be no, if this Fortune article is correct.
Chris Matthews writes, “Rising tuition costs may be a problem, but not for the housing market. […] The problem is, there isn’t any proof that higher student loan debt is actually causing young people to own homes at lower rates than they did in the past, or that the overall student loan burden is leading to a smaller share of first-time home buyers.”
Well, that’s good news. The statistics just don’t back up the belief that student loan debt is ruining the real estate market. What gives then? It seems that we have become a nation of defeatists.
We are no longer a nation of opportunists, so when major media markets declare that student loan debt is affecting everything, we’re too quick to throw in the towel and believe them. Perhaps what we all need is a complete mental overhaul. The real estate market is always fluctuating, but it depends on opportunists and smart investors to hoist it back up to its former glory.