Student debt isn't just a crisis on its own. 

It could be a considerable drag on the housing market for years. 

Bank CEO's went in front of congress on Capitol Hill recently for a hearing on the health of the banking system, in the first formal meeting between lawmakers and bank bosses since the 2008 financial crisis. When Democratic Connecticut House Representative Jim Himes asked about the potentially systemic risks to the banking system, the most common answer was student debt. "Leveraged lending and student lending," Jami Dimon, CEO of JPMorgan Chase (JPM - Get Report) , answered without hesitation. 

But former adviser to the president of the Dallas Federal Reserve Danielle DiMartino Booth said systemic risk isn't necessarily top of mind when it comes to student debt. "It [student debt] has already been a drag on housing long-term because we've had the largest generation in the world, the millennial's, they'll overtake the baby boomers in terms of their numbers in 2020, and we've had them postponed buying a home, settling down, getting married, having children, filling up those homes with stuff," DiMartino said. 

"The student loan debt has been a huge drag on this generation." 

Bank analysts are still largely positive on mortgage-loan volume growth heading into the next 10 years or so, as millennial's are such a huge demographic that maybe enough of them will buy homes. 

But the student debt issue is certainly a drag on housing. 

Related. Revisiting Housing and 2 Homebuilder Stocks to Watch

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