Tuition costs are climbing, housing costs are climbing, it seems like all the costs for students are climbing these days. Students can afford cost increases less than any other demographic in Canada. Because of this, parents and students alike are looking for new ways to offset the costs of education.

Student loans can be used to defer these costs to some extent, but they need to be repaid after graduation. Its difficult to climb the corporate ladder or get ahead in life when you have $30,000 worth of debt before your first job is even found!

Bursaries, grants, and scholarships are another great source of funding for a student. However, the amount of money available is thinning, and the competition is growing stiffer for this money each year.

The average student, over a 4 year degree, pays over $16,000 in tuition and books. Housing costs approximately $38,000 for a 4 year degree. This is based on rent of $800 per month for 48 months.

This means the total cost of education for a student is over $54,000 before paying for any clothes, food, or recreational expenses. Given that the average student doesnt qualify for more than about $9000/year in student loans, this means an average student needs to find over $18,000 during their 4 year education career to be able to go to school. Not to mention the cost of food and clothes. (more…)

September always means Back To School, and for thousands of families it also signals Off To College. In addition, more and more young people are opting to continue their education with post-graduate studies. Once a student is past the Mandatory - Freshman - Year - In - The - Dorm Policy that many colleges have, parents face an interesting dilemma: should they continue to shell out rent, or considering buying a property for their children to occupy while attending school.

Here is a TRUE Story.

In 1994, A young man decided to attend North Carolina State University. He enrolled in a combination Master/Ph.D. program. This meant he would be in Raleigh, NC for the next four -six years. After investigating the rental options in the area, his parents decided to help him purchase a townhouse.

This was the deal. A 3 bedroom, 2½ bath townhouse in close proximity to the school was bought for $72,500. Because the young man would occupy the property, he qualified for a minimum down payment, FHA mortgage. Because he had very little income of his own, a small living stipend offered by the University, he needed his parents to co-sign the mortgage. The total outlay of cash down payment and closing costs was approximately $5000, which the parents provided. The total mortgage payments were around $760. With the help of a local rental agent, the young man was able to quickly identify two other graduate students who wanted to share the house. They each paid $400 a month, and all shared the utilities. (more…)