I was reading another thread that mentioned if you have “other real estate” that the NPC will not be accurate. We do not own a home. My mother-in-law gifted 2.5 acres of land to my husband and his oldest son (my oldest stepson). They are listed as co-owners.
The fair market value of the land is $20,500. When running the NPC for our son (rising junior in high school), I listed the value of other real estate as $10,250. Did I do this right? Can I have confidence that the NPC is accurate or are there other factors involved the make those figures inaccurate.
Thank you in advance for your help!!
I think you valued it correctly. If it asked for other real estate then I hope the NPC is accurate.
The amount is small enough that its effect is probably minimal.
Do you know what your projected EFC is? Is the step-son who owns half of the land an adult? Have you tried this using an EFC with and without your husband’s $10,250 share of the land:
https://finaid.wisc.edu/award-estimator.php
@uwalummom
@Madison85 thank you for your reply!
My step-son is an adult (34 yrs. old). Our EFC is $6144. It doesn’t change with or without the land value.
Based on what I had read, I was worried that just by entering something in the “other real estate” field that would somehow make the results invalid. Maybe I misunderstood what was posted?
For UW-Madison, currently if your EFC is $12000 or lower, you receive $3000 in free gift/grant aid.
Thank you @Madison85 - I saw that too. That’s good news!
Is it your understanding that the NPC is accurate even when “other real estate” is entered?
I assume that other real estate should just be considered like any other non-retirement / non-home equity asset.
That’s great - thanks again @Madison85
I must have misunderstood what I read - something like ‘the NPC will be accurate except in cases where parents are divorced, you own other real estate, etc’
I think that may be true in a more complicated situtation. I will assume the NPCs are mostly accurate. Thanks for all your help!
@uwalummom
Very often additional real estate is comprised of rental properties. And many NPCs do not ask for the net value of additional real estate.
Thank you @thumper1 - that makes sense!