For millennials and Gen Z buyers balancing debt and homeownership goals
If you’re carrying student loans and wondering whether homeownership is even a possibility, you’re not alone. It’s a common concern—especially among millennials and Gen Z buyers who are balancing educational debt with rising housing costs.
The good news? Having student loans doesn’t mean you have to put your dreams of buying a home on hold. Far from it.
At HQM, we work with clients every day who are navigating student debt and still securing financing for homes that fit their lives and budgets. The key isn’t eliminating your debt—it’s understanding how it fits into the bigger picture.
Understanding How Lenders View Student Loans
When it comes to qualifying for a mortgage, the presence of student debt isn’t necessarily a red flag. Lenders are far more focused on how that debt impacts your debt-to-income ratio (DTI)—a calculation that compares your monthly debt payments to your gross monthly income.
Put simply, it’s not about how much debt you have, but how well you’re managing it.
HQM can walk you through exactly how your student loans affect your DTI, and help you explore loan options that are flexible with that ratio. For example, government-backed programs like FHA loans often allow for higher DTIs, making them a great fit for borrowers with active loan payments.
You Don’t Need to Wait Until You’re Debt-Free
A common misconception is that you have to pay off your student loans entirely before you’re eligible—or “ready”—to buy a home. That’s simply not true.
In many cases, waiting could actually be more costly in the long run. With rent prices climbing and home values steadily increasing, delaying a purchase might mean missing out on building equity and locking in a manageable monthly payment.
Buying a home while managing student loans is about finding balance, not perfection. It’s about being strategic, not settling.
Smart Homeownership Starts with the Right Guidance
There’s no one-size-fits-all approach when student debt is part of the equation. The right loan program, repayment strategy, or even co-borrower scenario can make all the difference. That’s why working with a lender who takes time to understand your unique financial situation is essential.
At HQM, we don’t just provide mortgage products—we offer personalized guidance. We help you understand your true affordability, walk you through your options, and create a clear path forward. Whether you’re a few months or a few years out from purchasing, the best first step is simply having the right conversation.
Let’s Take the First Step Together
If student debt has made homeownership feel out of reach, we’re here to show you that it’s still within grasp.
Connect with HQM today to schedule a meeting. We’ll help you evaluate your goals, explore your options, and move forward with clarity and confidence.
Owning a home is possible—with the right plan, and the right team on your side.