Although MHProNews has posted several stories relating to the effect of student debt on home sales, a new study by John Burns Real Estate Consulting, according to The Wall Street Journal, says higher levels of student debt will reduce U. S. home sales by eight percent this year. Studying purchase activity for households under 40 years of age, which account for two-thirds of student debt holders, the study says every $250 per month in student loan debt reduces borrower’s purchasing power by $44,000. In 2005, 22 percent of households 40 or under had monthly student debt payments over $250, versus 35 percent of those households today, as reported by housingwire.com. ##

(Image credit: housingwire.com)