College Grads Looking on the Sunny Side

For this year’s college grads, the future looks bright. In fact, according to the recent Cengage Student Opportunity Index, 82 percent say they are optimistic and entering a landscape of opportunity despite high student loan debt and housing costs.

The research measured the opportunity environment for graduates across 17 indicators, using existing public data and a survey of 2,500 recent and upcoming graduates. Categories measured included economic, employment, social and personal well-being, with scores calculated on both a national and regional level.

Key findings across the Cengage Student Opportunity Index include:

Employment: With the unemployment rate down, recent and upcoming graduates are bullish on job opportunities, though some of that optimism may be misplaced.
  • 93 percent of near-graduates think they'll land a job related to their educational background within six months of graduating; however, only 60 percent do.
  • 88 percent of recent and near-graduates believe the number of available jobs in their field of study will increase in the next two years.
  • 67 percent expect to meet their salary expectations within a year; however, they may need to move to another state to get it.
  • The Midwest and South benefit from the lowest unemployment rates for college graduates.
Economic: Data shows household income and GDP per capita are on the rise, as are student loan debt and housing costs.
  • Student loans
  1. Half of recent and upcoming graduates (51 percent) say they have student loan debt, and among those with debt, the average amount is $22,919.
  2. On average, respondents think it will only take six years to pay off their loan debt, while other data indicates it will take 20 years.
  3. Recent and upcoming graduates in the West anticipate the lowest average debt, the Northeast had the highest.
  • Housing
  1. 65 percent of respondents say they will have to move away from their current area to afford a house.
  2. Those in the Northeast and West are particularly impacted, with 73 percent saying they will have to move to buy a home.

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