By now, most people (especially those who are college students and college graduates) know of the discouraging financial statistics surrounding student loans. The latest numbers show that student loan debt in the United States has skyrocketed to a shocking $1.5 trillion dollars. Additionally, Forbes.com reported that the “average student in the Class of 2016 has $37,172 in student loan debt.” With so many individuals taking on this kind of massive debt at the start of their adult lives, many are unable to make important purchases, including a home.
Having a financially secure life after college starts with choosing a major that matches both your interests and that offers excellent job opportunities. If your goal is to buy a home in the years following college, explore some of the best choices for your major.
Since having a mortgage is preferred by many over renting, it’s crucial to keep this goal in mind when selecting your major. One of the best majors to choose for those who enjoy the subject is engineering. One study found that those who have graduated with this major have one of the lowest debt-to-income ratios of any major. Additionally, no matter what kind of engineering you are most interested in, salaries consistently rank among the highest of most professions (at well above $100,000 per year).
Have a talent for working with numbers? Those who major in accounting, and go on to work as an accountant can expect ample job opportunities and growth. According to the most recent data from the Bureau of Labor Statistics, accountants make an average of $69,350 per year. Job growth for the position through 2026 is set at 10% (above average growth). Those who work in this field also have a thorough understanding of financials and are equipped with the knowledge to set up their personal finances to one day buy a home.
Another major that carries with it a low debt-to-income ratio post graduation is business. Because this major is widely offered, students often have the option to choose lower-cost colleges and universities, leading to less student loan debt. In addition to having minimal debt after college, many corporate management occupations can make well over $100,000 per year (according to the Bureau of Labor Statistics).
Buying a home post-college graduation is absolutely a possibility for the many individuals who wish to do so. One of the keys to achieving this goal lies in selecting a major that not only suits your skill set, but also one that has ample job opportunities, income, and low debt upon graduation.