Student Debt’s Impact on Apartment Housing via Axiometrics

We’ve focused a great deal about the Millennials in recent articles, pointing out that this particular demographic is one reason why the apartment market continues doing well. This is true – as long as those Millennials are lucky enough to be hired after graduating from a college or university.

However, in an article written for the Financial Times about a year ago, reporter Shannon Bond points out that a well-paying job isn’t guaranteed following graduation from an institution of higher learning. In fact, the outlook is somewhat dismal; in 2011, the share of 18- to 24-year-olds who were employed fell to 54% in 2011. This is the lowest level since the US Labor Department’s Bureau of Labor Statistics began tracking that data in 1948.

Bond writes that youth unemployment worldwide has fallen – this is part of what has led to unrest in the Middle East. But the problem in the United States is that this unemployment comes with record levels of student loans. The average graduate has to pay off an average of $25,000. And without high-paying jobs available – or any kind of job – paying off that debt becomes insurmountable.

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