Students who enroll in HBCUs, which are mostly four-year colleges, often do so in lieu of two-year college or no college at all. HBCU enrollment leads to gains in degree completion and household income, but these outcomes are alongside larger student loans balances at age 30. The impact of enrolling in a college is relative to the alternative enrollment option. College evaluators and ratings should strive to account for these alternatives. Enrolling in an HBCU increases the probability of earning a college degree by 12 percentage points (30 percent higher than similar peers) and a bachelor’s degree by 14.6 percentage points (40 percent higher) and doubles the probability of completing a STEM degree. HBCU enrollment also increases estimated household income around age 30 by five percent.
