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.
- 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.
- 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.
- Recent and upcoming graduates in the West anticipate the lowest average debt, the Northeast had the highest.
- 65 percent of respondents say they will have to move away from their current area to afford a house.
- Those in the Northeast and West are particularly impacted, with 73 percent saying they will have to move to buy a home.