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U.S. Mortgage Industry to Climb Up Mountain of Student Debt

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Mortgage Professional America | 29 Apr 2013, 12:06 PM Agree 0
The mortgage market will likely have a difficult time making its business model work around the giant student debt bubble growing in the United States, mortgage and real estate experts say.
  • William Matz | | 08 May 2013, 09:02 PM Agree 0
    There was a large jump in student mortgages in 2012. This attracted many who were unemployed. Once they were full-time students, courtesy of federal mortgages, they no longer counted as unemployed. So not surprisingly, the unemployment rate "unexpectedly" fell right before the election. Coincidence?

    Related factors to the high debt load are stagnant wages, kept in check by labor participation rates [real unemployment measure] that are lower now than during the 2008-9 crisis. High debt and stagnant wages do not bode well for real estate. If rents flatten and takes investor demand with it, we will not have to worry about a bubble.
  • Rusty Solomon | | 14 May 2013, 04:32 PM Agree 0
    This is an informative blog about U.S. Mortgage Industry to Climb Up Mountain of Student Debt.
    Keep blogging.
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