At a time when the value of a college degree is highly debated and homeownership continues to decline, a Realtor.com study examined which majors have more potential to help you put a down payment on a home.
About the Study
Researchers looked at 336 college degrees and how much a recent graduate earns early on in his or her career. These numbers were compared against the baseline for purchasing a home: Making a 20-percent down payment on a $250,000 property. The study did not appear to directly factor in other expenses. For instance, paying off student loans or putting a significant portion of income toward rent.
When it came to the majors more likely to make someone financially viable, an engineering degree had the best outcome. These programs made up 33 of the top 50 strongest majors, with some of the highest earners including:
- Petroleum Engineering: Early career salaries average around $96,700 and researchers found that it would take someone about 2.6 years to save $50,000 for a down payment.
- Computer Science and Engineering: Early career salaries average around $71,200 and it’s estimated that someone graduating with this major could purchase a home in 3.5 years.
- Mining Engineering: Earning a bit less than computer science majors early on, this degree brings in about $70,200 for the first year. You could be ready to purchase property in 3.6 years.
Engineering degrees are not the only lucrative career options. The study also found that those who become physician assistants have an early career salary of $85,200. The professionals could purchase a home in about 2.9 years.
At the other end of the spectrum, education and “softer” majors had the lowest early career earning power. Those majoring in fields like child development, early childhood education, pastoral ministry and child and family studies average between $30,000 and $33,000 per year. Thus, it may take someone in these fields roughly eight years to save a standard down payment.
Whether you’re looking for your first home or an upgrade, By Carrier’s many custom communities present an array of options for energy-efficient homes. To learn more, contact our team today.