Skip to main content

N.Y. Fed Report Links Tuition Hikes to Homeownership Declines

Phil Hall
Jul 19, 2017
New research from the Federal Reserve Bank of New York has linked the increase in college tuition and student debt to the decline of homeownership among young Americans

New research from the Federal Reserve Bank of New York has linked the increase in college tuition and student debt to the decline of homeownership among young Americans.
 
According to a Bloomberg analysis of the Fed’s report, up to 35 percent of the decline in young American homeownership from 2007 to 2015 has its roots in student debt loads, which doubled since 2009 to more than $1.4 trillion. The Fed speculated that if tuition stayed at 2001 levels, the approximately 360,000 additional young adults would have been homeowners in 2015. The research contradicts adamant claims by Obama White House economists and academics who insisted the connection was minimal or even nonexistent.
 
"States that increase the cost of education therefore may pay a price not in the form of declining workforce skill, but instead through muted housing-related spending and lower wealth accumulation among younger consumers in the years to come," the New York Fed paper said.

 
Angel Oak Mortgage Announces Initial Public Offering

Angel Oak Mortgage announced its initial public offering of 7,200,000 shares of its common stock at $19 per share.

Industry News
Jun 17, 2021
Mortgage Apps Rebound After Three Consecutive Weeks Of Declines

The Mortgage Bankers Association reported the first increase in mortgage applications after a three consecutive weeks on declines.

Industry News
Jun 17, 2021
CFPB New Rule Prevents Predatory Lending To Military Service Members

The CFPB stipulates its authority to examine supervised financial institutions for risk to active duty servicemembers and their dependents.

Industry News
Jun 16, 2021
Inventory Begins A Slow Recovery

Inventory grew 3.9% from April to May, according to Zillow's latest Market Report, after a year of steady decline.

Industry News
Jun 16, 2021
Mortgage Lenders Expect Profit Margins To Shrink

69% of lenders believe profit margins will decrease in the months ahead, while 19% believe profits will remain the same, and 11% believe profits will increase.

Industry News
Jun 14, 2021
Real Estate Industry Calls To End Eviction Moratorium On June 30, 2021

Expanding the moratorium will only increase levels of debt on renter households and impede the recovery of the housing sector.

Industry News
Jun 14, 2021