So I was taken off the UM Waitlist and finally received a financial aid award. Michigan’s total cost would be around $8500 more expensive than Northeastern (per year). I am having trouble deciding between the two. On one hand, Michigan is a very top notch Engineering school, has good grad schools (could help me later on), I’m in the MCSP program, has a ton of resources for research and such, etc. On the other hand, I’ll be dorming with engineering students at NEU (could be good or bad in terms of making diverse friends), it has a lower cost, and the Co-ops could help me pay off loans and debt. I think Northeastern is attractive because of the lower cost and the Co-op opportunity giving me both experience and a way to help pay off debt, but I really want to go to Michigan. In terms of academic quality, job prospects, etc., is NEU comparable to Michigan? Is it worth sacrificing the “better” engineering program for the co-op opportunity and lower cost? Plz Help!
I don’t want to burst any bubbles, but here goes 
If you have to graduate with any more than 30k in student loan debt, it’s not worth the cost of either program. Based on what I’m reading, you’re choosing between a private or out of state school. If you are expected to take out large amounts of debt in order to pay tuition, both are bad options and prestige would change very little. That kind of debt would cripple your career for many years, especially when you decide to get married and start a family. Also, if your spouse is educated, you inherit his/her debt also.
One other consideration is that you should not expect that you will pay off debt or save funds during coop. Perhaps with some coops, but many pay enough to cover your cost of living during that time.
Michigan will probably have cheaper housing, so the end cost will be about the same. Coop is a great program, but engineering should still give some good internship opportunities at Michigan. Of course Boston is a nice place to live. I agree with the above statements on debt, but you haven’t stated that it will be high. Most students have some debt. If it is too much, a state school in your home state might be a better option. But only you can know that.
What about commuting costs? Which one is closer to home?
My D’s off campus housing at NEU comes out to around $1100 a month. Just to give you a data point.
I respectfully disagree on the $30k loan limit. I graduated in '92 with an EE degree and $20k in loans and paid it off in about 3 years pretty easily - and interest rates were higher then by at least 2 points. Since then private school tuition has tripled and starting salaries have increased by more than a factor of 2. I do agree that minimizing loans is a good thing, but with an engineering salary (assuming mechanical, electrical, computer, chemical, etc), paying them back isn’t crippling and should have no effect on your career. In addition, the quality of an engineering education is not equivalent across all schools and some are worth paying more for.
You are assuming this student sticks with engineering, graduates in 4 years, has good enough grades to get a good job, and doesn’t have any personal or family issues that derail that plan. Don’t take out more than your federal loans if you can help it ($27K total).
^Yes, those are all valid assumptions and apply also to those pursuing professional degrees in law and medicine who generally borrow significantly higher amounts.