Question about assets in student's name .................

twoinanddone
Sun, 31 Jan 2016 16:43:15 +0000

The best solution would be to add the lot to your property, having one bigger property. Whether that can be done will depend on whether the area has been platted, title matters. If it becomes part of your property, you won’t have to list it as a separate asset on FAFSA, and it will just increase the value of the primary residence. It might even decrease the taxes as it will be assessed as one lot, not two.

The down side is if your area restricts building to one structure per lot. If so, by combining the lots you are actually decreasing the value because now you have a very nice yard but cannot build on it (might increase the value of your house/lot because no one can build right next to you). Once the lots are combined, you might not be able to separate them again. So states have requirements that platted lots be a certain size, or that you cannot leave parcels landlocked, or that a plat is required for any lot under 40 acres.