GOBankingRates: Reveals top and bottom locations based on the financial status of studentsGoBankingRates.com, a dedicated money lifestyle website revealed a comprehensive study ranking based on the best and worst states for new college graduates to plant roots and begin their careers.The most important decision new college graduates take is where to settle down and start their careers. What steps should they take to reach up a decision and ensure that they’re putting themselves in the right position to build the life they’ve always wanted? It all starts with location, location, location.
The results are surprising:Graduating from college initiates a time of great change. That’s why GOBankingRates conducted a study to look at all the different potential factors that might impact that decision, including the cost of rent, how many years it would take to save up for a 20% down payment, livability, and unemployment environment.
Top 5 States For Recent College Graduates:1. Maryland 2. Massachusetts 3. Minnesota 4. North Dakota 5. ConnecticutWith livability score 54, Maryland is above the median for both its percentage of adults with a college degree and percentage of the population ages 25-29. The top 5 states are not isolated to one geographic area. What sets these states apart is the number of college graduates already living there. In all but one state out of the top 10, the share of the population aged 25 or older with a Bachelor’s degree is 20 percent or higher.
Bottom 5 States For College Graduates:50. Nevada 49. Hawaii 48. Mississippi 47. Florida 46. IdahoThe bottom 5 are spread out geographically as well but they mostly have one thing in common. They’re weighed down by expensive costs of living or smaller numbers of college graduates. For example, California—ranked the 9th worst state in the study— has 20 percent of 25-year-olds and older with a Bachelor’s degree. But they’re saddled with high home prices and high rents, which means it takes a lot longer to buy a home or rents are astronomical, consuming much larger chunks of income than in other states.Unemployment among college graduates runs higher-than-average in these lower-ranked states as well. Not to mention livability scores are also on the lower side, hovering around 50 or below.
The study used a comprehensive methodology that included:
- The median income for someone who earned a bachelor’s degree
- Rent-to-income ratio
- Median home price
- Number of years it will take a college graduate to stop renting and own a home
- Job availability, unemployment rates among college grads
- Percent of jobs available for college grads
- Livability and quality of life