In a 2021 report published by the National Association of Realtors, half of student loan borrowers between the age of 24 - 64, including 60% of millennial borrowers, stated that education debt is delaying them from purchasing a home.
Between increasing interest rates, student loan debt, which carries even high interest rates, and wage increases that are not keeping up with inflation, how can 30- to 40-year-old, working college graduates afford to buy a home or rent an apartment?
Today, our top talent and recent college graduates are struggling with student debt, prohibiting them from “reaching the golden carrot” of home ownership, or qualifying for a lease. How can 4 years of college equate to 25 years of student loan debt? By the time the loan is paid off, the borrower would have paid a whopping 287% more than the original loan amount.
Average student loan debt by age
Americans older than 35 have the most student loan debt on average, while Americans 24 and younger have the least. And I am going out on a limb, but I will guess your target market is the 35 - 49 age group.
24 AND YOUNGER | 25 TO 34 | 35 TO 49 | 50 TO 61 | 62 AND OLDER | NOT REPORTED |
|---|---|---|---|---|---|
$14,382 | $32,801 | $43,000 | $45,585 | $42,519 | $3,000 |
Those in the 35-to-49 age group have the most student loan debt outstanding, just over $632 billion as of the third quarter of 2023. Of that age group, 15 million have student loans, more than any other group.
Here’s how total outstanding debt and the number of student loan borrowers break down by age group:
24 and younger: $98 billion federal student loan debt outstanding among 6.8 million borrowers.
25 to 34: $495 billion federal student loan debt outstanding among 15.1 million borrowers.
35 to 49: $636.1 billion federal student loan debt outstanding among 14.7 million borrowers.
50 to 61: $296.3 billion federal student loan debt outstanding among 6.5 million borrowers.
62 and older: $114.8 billion federal student loan debt outstanding among 2.7 million borrowers.
Did you know that North Carolinians’ average student loan debt is rated in the top 5 Highest Loan Debt in the country?
This refers to loan debt for bowwers between 35-49 years old. Keep in mind that it's likely they have been paying down the loan for a minimum of 10 - 25 years. When compared to New York, California, and Florida residents, which are the top 3 states states that are fueling Charlotte's growth, North Carolina residents carry the highest average loan debt.
State | Average Debt Among 35-49 Age Group |
North Carolina | $48,497 |
New York | $47,663 |
California | $47,879 |
Florida | $47,117 |
So, do you want to be the person who delivers bad news to you clients, or a professional that works with clients to help them realize their dream, just by sharing information?
There are several programs in place to help qualified individuals better manage their Student Loan Debt. And in the summer of 2024, a loan forgiveness program is rolling out, specifically for individuals that have paid their loan debt for 20 years or more. Coincidently, that would be your 35–49-year-old target market!
Here are links you can share detailing Student Loan Management and Forgiveness options. It’s possible you can make a huge difference in someone’s life. I know that sounds a bit dramatic, but if sharing information makes you a valuable resource, then I say share away!
The team at Power Wash Charlotte hopes you found this information useful. Please share your thoughts with us. And share this information with your clients, friends, and family.