Well, Burkey can do whatever he wants, of course. It’s his and his firm’s money they’ll be lending out on RE at 100% LTV, lol. And his proposal seems like a bit of a scam to the poor schlump millenial who will take a mortgage/student-loan (assignment?) with his firm because Burkey and his firm aren’t legally responsible to pay a dime to the buyer’s student-loan lender.
Instead, I see structural problems with the thinking of millenials (and even some straggling Gen-X … who are indebted – or still indebted) with student loans, which needs to be corrected if they expect to function as a adult who is able to fully participate in society.
Millenials, in general, want it ALL right out of the gate. Many of them do things back a$$wards in life. They marry and start families (or just start families) WITHOUT first paying their student loans off. They buy $10K and up vehicles (even brand new vehicles) WITHOUT first paying their student debt off. They rent luxury apts and homes WITHOUT first paying their student debt off. Etc, etc, etc. In general, many (most) of them are “consumers extraordinaire” whilst still owing on mountains of 6.5% to 8% (non-dischargeable in BK, of course) student debt.
I counseled my kids to never, ever marry anyone with outstanding student debt as they will be left holding the bag in more ways than one. I told them that Sallie Mae (or a SL private lender) can place a lien on a student debtor’s home in the event of default (which THEY may be half-owners of). I told them that Sallie Mae (a “pseudo-gubment organization”) doesn’t even need to file suit and get a judgment to do so!
This huge student-debtor group likes to cry wolf at the age of 35, 40 or beyond because they are still hamstrung in life by student loan debt and their kid(s) need braces, money for sports, diapers, formula, daycare … or even college, ad nauseam.
If they would have just hunkered down driving a parent’s old ’80’s/’90’s vehicle (or rode public transportation) and “rented” a parent’s back bdrm (or dive apt in another city) while working FT the first 3 years after college graduation, they could have RETIRED ALL of their typical $30-$35K student debt.
The ex-students who are now complaining they can’t buy a home right now due to student debt aren’t anywhere near ready to buy one, IMO.
