3 answers
Osmar
Student
Omaha, Nebraska
2
Questions
Asked
1628 views
Is having a house under my name going to affect my financial aid?
My parents got a divorce and my dad gave my mom a house but she does not have a social so she put it under my name. Technically it is under my name but my mom uses the rent money so we can live off from. Will if affect me from receiving the financial aid I get?
#fafsa #financial-aid
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3 answers
Jessica Ayres
Director of Financial Aid
1
Answer
San Jose, California
Updated
Jessica’s Answer
Hi.
Because it is unclear from your question, the answer depends on whether you live in the house you "technically" own. The FAFSA does not consider the home you live in as an asset, and therefore it will not affect your Federal Aid eligibility. If however, you do not live in the home and instead have tenants for whom you are collecting rental income, then the FAFSA considers that rental property (i.e. an asset) and it can affect your Federal Aid eligibility.
Also keep in mind that schools and states (if your state has an aid program) use different factors to determine institutional or state aid awards. For example, some schools/ states will use FAFSA information; some schools will use CSS Profile information, and other schools will only look at merit (GPA, test scores, etc.) . The reason this is important and related your question is that owning a home may not affect your Federal Aid eligibility, but might affect your institutional aid eligibility. Or, vice versa. Owning a rental property could affect your Federal Aid eligibility, but might not affect aid you could receive from the institution. The best thing to do is to ask your financial aid office about the school or state policy regarding eligibility for their aid programs
Because it is unclear from your question, the answer depends on whether you live in the house you "technically" own. The FAFSA does not consider the home you live in as an asset, and therefore it will not affect your Federal Aid eligibility. If however, you do not live in the home and instead have tenants for whom you are collecting rental income, then the FAFSA considers that rental property (i.e. an asset) and it can affect your Federal Aid eligibility.
Also keep in mind that schools and states (if your state has an aid program) use different factors to determine institutional or state aid awards. For example, some schools/ states will use FAFSA information; some schools will use CSS Profile information, and other schools will only look at merit (GPA, test scores, etc.) . The reason this is important and related your question is that owning a home may not affect your Federal Aid eligibility, but might affect your institutional aid eligibility. Or, vice versa. Owning a rental property could affect your Federal Aid eligibility, but might not affect aid you could receive from the institution. The best thing to do is to ask your financial aid office about the school or state policy regarding eligibility for their aid programs
Misty Miller
ISM Rep @ AT&T DirecTV
121
Answers
Huntsville, Alabama
Updated
Misty’s Answer
yes due to the fact that there is an income coming from the home. if that is found out and you do not report it, that is considered fraud and you could get in alot of trouble not counting having to pay the financial aide money. reporting it will not necessarily affect your fafsa approval, however it may have an effect on how much you receive.
Liane Crane
College Finance Consultant
7
Answers
Rochester, New York
Updated
Liane’s Answer
It depends. It will affect you most if you choose to attend a CSS Profile School. You can also send in a request for professional judgement after choosing a college and explain the situation.