Student Loans and Mortgages: How to Buy a House with Student Debt in 2025

Do you have student loans weighing on your mind as you consider homeownership? You’re not alone.

The State of Student Loan Debt in America

According to Experian, the average student loan balance was about $38,787 as of Q3 2023.

The outstanding balance for federal student loans as of March 2024 totaled $1,620.1 billion spread out among 42.8 million borrowers, according to the office of Federal Student Aid – an office of the U.S. Department of Education.

That’s not even including private student loans, which have an estimated $130.28 billion total private student loan balance as of Q3 2023, according to Enterval Analytics’ Private Student Loan Report.

Additionally, according to The 2024 National Association of REALTORS® report, buyers reported that debt delayed them from saving for a down payment or buying a home for a median of four years. Of buyers who cited saving for a down payment as difficult, 52% pointed to student loans as the debt that delayed their savings the most.

Suffice it to say, student loan debt can make it seem like homeownership is out of reach. Thankfully, we’re here to let you know that your debt doesn’t have to hold you back.

Student Loan Refinancing Can Help You Buy Sooner

Our refinancing program isn’t just another financial product – it’s your bridge to homeownership. By rolling those scattered federal and private student loans into one manageable payment, we’re helping clear the path to your new home.

Why does our approach work better?

• Trade those sky-high rates for a lower interest rate loan
• Free up cash each month (hello, down payment fund!)
• Boost your mortgage approval odds with a better debt-to-income ratio
• Ditch the headache of juggling multiple student loan payments for just one monthly payment

Your Roadmap to Success

Buying a home with student loans takes some planning. Here’s how we break it down:

First Up: Smart Money Management

• We’ll dig into your current loans – no sugar coating, just real talk
• Find refinancing options that give your budget room to breathe
• Build a game plan for a stronger mortgage application

Next: Down Payment Strategy

• Student loans can add years to the saving process – we’ll help you cut that time down
• Use refinancing to unlock more monthly savings
• Get the scoop on down payment programs you might not know about

Finally: Getting That Approval

• Tackle DTI head-on (it’s easier than you think)
• Walk in with a rock-solid application
• Work with people who understand both worlds – student loans and mortgages

Real People, Real Success

The best part of our job? Seeing how different folks make it work:

• Fresh grads proving the doubters wrong (even with $25K in loans)
• Mid-career pros balancing bigger loans with bigger dreams
• Experienced buyers showing it’s never too late to make a smart move

Let’s Get Started

Here at Premier Mortgage Associates, we love turning “maybe someday” into “yes, now.” Our team knows how to look at your whole picture – not just the numbers on a page.

Let’s find out how we can help you achieve homeownership. Explore your student loan debt financing options today!*

Premier Mortgage Associates NMLS# 75597 makes homeownership possible through personalized solutions and genuine support.

*If you refinance federal student loans, you may no longer be eligible for payment options available to federal loan borrowers or other federal benefits.

NQM Funding, LLC is not affiliated with Bank of Lake Mills. NQM Funding, LLC offers home loan financing and does not offer student loans or debt consolidation services. A mortgage loan with NQM Funding, LLC is not contingent upon obtaining a student loan or using Bank of Lake Mills’ services. Please consult with a student loan advisor to understand the benefits that you may gain by consolidating or refinancing student loans. Bank of Lake Mills makes all credit decisions and is responsible for all student loan activities.