Recent college graduates not buying homes
PHOENIX -- This time of year is graduation time at colleges across the country.
But even though they've now got their degree, many recent college graduates aren't making the jump into home ownership. That's because they've gone into debt to get that degree. And with the tough economy, mom and dad haven't been able to help out as much.
"With the market being what it was the past four years, their parents have been getting kind of buried into their own home situation," said Valley Real Estate broker Bobby Lieb. "There just wasn't any money to give the kids when they get out of school."
A report by the New York Federal Reserve said that nationally, graduates have piled up about one trillion dollars in debt to get their diploma.
Lieb thinks they won't be buying a home anytime soon.
"I see that buying ability stretched out for another five or six years until they pay their debt significantly down," said Lieb.
Lieb said recent college graduates make up a very small percentage of first time home buyers, so the Valley real estate market isn't feeling an impact on their inability to buy a house. At least, not yet.
Bob McClay, Reporter