<p>Currently, I am living with my mom and her boyfriend. I am getting a lot of financial aid money just because my mom's job doesn't pay much and I am unemployed and I have a little 10year old brother. My mom's boyfriend is the person that takes care of the rent and all that. Anyways, I'm currently, on my way to transfer over to a university and my mom wants to buy a house. Well, my uncles found her a house and they're going to give her the money so she can buy it. </p>
<p>I'm really scared that this will affect my chances of getting financial aid money. I'm a sophomore in college and i fear that if she buys the house, my financial aid will be cut and I won't be able to go to college anymore. </p>
<p>Can someone help me out and tell me if she buys a house even though it will be using my uncles money.. if i'll be affected by it?</p>
<p>Need more info. Buying a house may net more financial aid if the mortgage payments exceed current rent expenditures. If, however, the house is paid in full & you’re listed as a dependent of your mom on her tax return, then your financial aid may be lessened due to increased assets & decreased expenses.</p>
<p>It depends on the school. Some don’t include home equity on your primary residence at all…and many cap at a certain amount. You would need to know how YOUR school deals with home equity for the primary residence.</p>
<p>If this is a FAFSA only school, your primary residence isn’t reported at all.</p>
<p>Home equity is one thing, but rent & mortgage are expenses. So the answer is that it depends upon several factors. OP: Contact your financial aid office & ask.</p>
<p>Is this a FAFSA only school or a CSS+FAFSA school? If it’s a FAFSA only school, expenses are not reported anywhere on FAFSA so neither the rent nor the mortgage will have any impact at all on the EFC (FAFSA includes a small amount of income protection which includes allowances for expenses, but they are nothing to do with actual expenses). It might for a CSS school. Also for FAFSA, the primary residence is not a reportable asset.</p>
<p>Another question is will the house be in your mother’s name or your uncle’s? Also do you qualify for the automatic EFC of 0 where assets do not have to be reported? If so then it shouldn’t have an impact. If it is a CSS school and the house in her name than it could have an impact as others have explained.</p>
For FAFSA, it makes no difference whether the OP qualifies for the auto 0 or simplified needs test where assets do not have to be reported. The primary home is not a reportable asset for FAFSA.</p>
<p>Axelrod, there is NO PLACE on the FAFSA to report either your mortgage or rent payments. If you are a renter, this is not included on any financial aid application. </p>
<p>Schools have varying ways of dealing with home equity. That is the ONLY thing that matters in the financial aid application area. Your actual mortgage payment is irrelevant. It’s your equity that matters.</p>
<p>If the OPs mom is going to be the owner of the house but it has little or no equity than this may not matter one bit.</p>
<p>If this is a FAFSA only school, NOTHING with the primary residence matters at all, not one bit. It doesn’t matter if you are renting or paying a mortgage, it’s not listed in the FAFSA.</p>
<p>Schools using the profile do sometimes use a %age of home equity. This varies by school.</p>
<p>I would suggest the OP use the Net Price Calculator for THEIR college and run the numbers WITH and WITHOUT the home ownership numbers.</p>
<p>So, everyone here is focusing on home equity. Okay . . . but what about the fact that someone is giving mom enough money to buy a house? Doesn’t that result in reportable income?</p>
<p>i think Thumper is right. Money gifts to parents may not be reportable. I believe this has come up before. The money was already taxed by the earners, and then given to the parent(s).</p>
<p>My mom won’t be making any mortgage payments because the house will be payed completely. I’m really excited about my mom finally having a house but im scared I wont be able to go to college anymore.</p>
<p>If it is a FAFSA only school, your primary residence isn’t looked at at all. BUT Depaul is not inexpensive and they do not guarantee to meet full need of all accepted students. </p>
<p>I would strongly suggest you run your figures through their Net Price Calculator to get an estimate of your potential aid and costs out of pocket to attend this college.</p>
<p>If you’re transfering to DePaul, then you may not get enough aid anyway. DePaul doesn’t meet need and they likely give worse aid to transfers.</p>
<p>Anyway…It sounds like technically, your mom isn’t “buying a house.” It sounds like your uncle is buying the house and then giving it to her. </p>
<p>For FAFSA, it won’t matter, however, since DePaul doesn’t “meet need” and you’re a transfer student, the school may not be affordable either way.</p>
<p>Where do you go to school now? If you go to a CC, and aid pays for all those costs, that’s because the cost is low.</p>
<p>Right now, I am attending the illinois institute of art.
[Chicago</a> Graphic Design Degree Program](<a href=“Closed School Information Page |”>Closed School Information Page |) this is the tuition for the school, I’m attending and financial aid covers everything. I make no monthly payments although, I do have a balance through loans but either way I don’t make any out of pocket expenses. </p>
<p>I already did the DePaul tuition calculator thing and based on my information, it said I won’t make any out of pocket payments. Also my GPA is high. My grades are good. I just don’t like where I am at and I want to transfer.</p>