One reason that first time home buying rates are down is allegedly that there are so many younger people strapped with the obligation to repay student loans. The president seems to be aware of the situation, and he is taking action to appear as if he is reducing their load.
Just as their parents have been blindsided by the fact that refinancing a home loan for a pile of cash comes with interest charges and monthly payments, the youngan's are shocked to learn that they also must pay back the "free" funding they applied for and received to finance their tuition. Too bad that they didn't remember fourth grade when they were taught that loans create an obligation to be paid back, and there is a carrying charge called interest.
Here's the injustice: The parents walked away from their houses and became renters. They did this after halting their monthly mortgage payments for a year or so and living for free, and their rent payment is lower than the mortgage payments they were supposed to have made. Parents get to keep the boat and RV and BMW they got with the cash-out refi money, just not the house. On the other hand, the kids are finding that they can't shed the responsibility of their student loans without dying, which is generally felt to be an unpleasant experience.
I agree with the president who says that post-secondary education is not a privilege, but a right. Where we differ is that the president seems to think that the right comes with no responsibility. Yes, Dexter, your college loan has to be paid back, and if it means that you have to live with Mom & Dad in their shiny new rental, that's what it means.