Student loan debt is no longer limited to recent college graduates. Today, more midcareer and older adults are carrying student loan balances, and it’s changing when many people enter the housing market.
If you assume student loans mostly affect younger buyers, recent homebuying data tells a different story. A growing share of borrowers are now in their prime earning and homebuying years, which is reshaping the timing of first-time homeownership.
Student Debt Is Increasing Among Midcareer Borrowers
Borrowers ages 35–49 now make up nearly one-third of all federal student loan holders, and their share has grown faster than any other age group. Borrowers over age 50 are also becoming a larger segment, while younger borrowers under 24 represent a shrinking share of the system.
This shift means student loan debt is increasingly affecting buyers who are further along in their careers and closer to traditional homebuying milestones.
Loan Balances Tend to Rise With Age
Student loan balances also tend to increase with age. Borrowers under 24 hold roughly $14,000 in student debt on average, while borrowers ages 35–49 owe about $46,000. Borrowers ages 62 and older carry more than $51,000 on average.
Higher balances during peak earning years can influence how buyers approach affordability, monthly payments, and the timing of a home purchase.
Why This Matters for Homebuyers
These trends are especially important for housing because many borrowers are now carrying student debt during the years when people have traditionally purchased their first home. That shift helps explain why the median age of first-time buyers reached 40 in 2025 — the highest on record.
For many buyers today, balancing student loan payments with housing costs has become a normal part of the homebuying process rather than an exception.
What Buyers Should Take Away
For today’s shoppers, the data points to several key realities. Many buyers are managing student debt well into midcareer, and they are not alone in doing so. Delayed homebuying can sometimes coincide with higher earning power later in life, which may improve purchasing ability over time. At the same time, builders and lenders are increasingly recognizing older first-time buyers and adapting home designs and financing programs accordingly.
The takeaway is that student loans have not eliminated entry-level buyers — they have simply changed who that buyer looks like and when they enter the market.
The insights in this article were taken from more in-depth research reports published in Zonda’s National Outlook.
