(956) 399-1199 • P.O. Box 1064, San Benito, Texas 78586

Young Homebuyers Face Hurdles

April 2nd, 2014    •  

Recent Grads face Chalenges

High debt levels and weak job prospects have made it hard for many young, educated Americans to buy homes, and that could be a drag on the housing market for years to come.

Missed payments on student loan debt damage credit scores, making it harder and more expensive to get mortgages.

“Debt also counts against young homebuyers when lenders calculate how much money they’ll lend: Every dollar of student debt payments means less available for housing.”1

In addition, more grads are moving home to live with their parents — 36%, according to a recent Pew survey1. While that saves on living expenses, it limits their ability to build the credit histories they need to eventually get a mortgage.

The result is a decline in the percentage of 18-to-32 year olds heading up their own homes — just 34.3% as of this past March, according to Pew, versus 36.1% in 20071.

The New York Federal Reserve reported recently that, for the first time, the homeownership rate among college graduates was less than non-grads.

Examples of what is happening throughout the country can be seen in the personal stories of some young professionals.

“Danilla DiMartino graduated from college at 25 in 2012 with $35,000 in debt and has lived with her parents in a Westchester County suburb of New York ever since.

She makes $33,000 a year as an account executive with a PR firm, which would be enough to move someplace except for her $700 a month loan payments.

“I love my job and I love my parents, but I am an adult and want a place of my own, but won’t be able to have that for at least four to five years,” she said1.

“Shane McClelland, 27, a divorce attorney in Columbus, Ohio, is more than two years out of law school, has his own firm and is making a good living. But he has nearly $200,000 in student loan debt.

“It’s really delaying the adult milestones I should be hitting,” he said.

He does not have to live at home with his parents but the debt, which costs him about $2,000 a month, has prevented him from buying a home, even though Columbus boasts affordable prices.

One lender told McClelland they didn’t even want to process his loan application.”1

Danielle DeBacker, 24, is originally from Houston and works as a clinical research coordinator at Georgetown University Medical Center, a position that took a lot of expensive schooling, including a Masters degree from Case Western Reserve University School of Medicine in Cleveland.

She owes $80,000 in school loans and homeownership is a distant dream. She shares a house in Alexandria, Va., with three others and can’t even afford a car.

“Buying a home will be a mid-30’s project for me at the earliest,” she said.

On a brighter note, some young professionals are finding their path to homeownership by actively seeking homes for sale where the owner is offering owner financing.


If you currently own a real estate note and are in need of immediate cash, we would like an opportunity to bid on and possibly BUY YOUR NOTE!  With over 20 years experience in the private note industry, our experienced staff is available to provide you with a quick quote and help make it easy for you to get the most for your note.  Visit us today at www.notebuyingusa.com or contact us at 1-877-399-1211.  If you are considering offering owner financing when you sell your property, please click here to receive your free copy of “10 Critical Steps to Creating a Sellable Note”.

This information is intended to be used as a general guide.  It is not intended to constitute legal advice and is not a substitute for the advice of an attorney.  While every effort has been taken to present the information accurately, this document may not be infallible.  No warranty is made that these materials are current, complete, accurate, or suitable for any particular purpose.  You should seek advice from your attorney before proceeding with any real estate transaction.


  1. Young and smart, but Millennials face homebuying hurdles, Les Christie, October 31, 2013,CNN Money, http://money.cnn.com/2013/10/31/real_estate/millennial-homebuying/index.html Retrieved 10/31/13.
  • About Us

    NoteCom, Inc. specializes in the purchase of owner-financed, privately held, real estate notes. We are a direct buyer of real estate notes, thus eliminating costly broker fees and allowing you to receive the maximum cash offer for privately held real estate notes.

    With over 20 years of experience in the private note industry, our experienced staff of experts is available to provide you with a quick quote and makes it easy for you to get the most for your note.

  • Contact Us

    Mailing Address
    P.O. Box 1064, San Benito, TX 78586

    Physical Address
    551 N. Williams Rd, Suite D,
    San Benito, TX 78586

    Local: (956) 399-1199
    Toll Free: 1-877-399-1211
    Fax: (956) 399-8794