<p>ecm, you are mistaken. If you are going to a FAFSA only school the house you live in is not reportable…any other real estate is an asset and is included/reported.</p>
<p>I* am pretty sure that real estate (especially that owned by the parents) cannot be used as a countable asset. *</p>
<p>You’re “pretty sure” that people can own a bunch of rentals and it won’t be counted as an asset? That doesn’t even pass the simple logic test. If that were true, people would just buy a bunch of real estate properties and then claim to have no assets.</p>
<p>For FAFSA, only the primary home isn’t counted.</p>
<p>Some CSS schools will count the equity in the primary home. </p>
<p>OP…since you’re worried about your parents selling property to pay for college, why not ask them if that’s the case. I’m guessing that they have no intention of selling any property, but have the means to pay for college thru other means.</p>
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<p>Correct me if I’m wrong, but isn’t it 5.6% of parents’ assets after a certain amount? Or am I confusing that with something else?</p>
<p>(I have no idea about students’ assets)</p>
<p>Romani, you are correct. </p>
<p>Soccerdude, I like your outlook! However, although your statement about EFC being reduced the second year if you spend down assets the first year is technically correct, that often does not result in increased aid. The vast majority of schools do not meet need, and spending down the assets will most likely not net much, if any, additional aid.</p>
<p>Also if you spend down your assets some full need schools compute the portion from assets based on the first year and assume equal amounts each subsequent year. I.E. the student has $50,000 and they assume 20% the first year = $10,000. Even if you spent that $50k the first year the school may assume that $10k will come from that asset each following year. I say this because my D’s meet full need school told me that is how they do it. YMMV</p>
<p>I think it is refreshing to hear that OP is worried about depleting her family’s assets. Many kids nowadays feel entitled. It appears his/her parents have done a great job of saving and will be able to fund their child(ren)'s college education. They seem to understand that they are responsible for paying and are not complaining. I find OP to be a thoughtful teenager who cares about his/her parents. Calculating the price of a college education can be an eye-opening experience, especially for a 17-year-old.</p>