Ok, Got into medical school so now how do you pay for this?

[axlaxl1]

Is financial aid for everyone? As well, what is the most you can get sub and unsub for financial aid? I was actually thinking of buying condo with my first years extra money because school doesn't cost that much and it is a pretty cheap loan per se.

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[nhtreehugger]

I've filled out three scholarship applications in the past two weeks. Hopefully I'll get some money out of it, since I spent so much time writing the essays. Also working on my fafsa, but still waiting on some w2s. The life of a doctor is a never-ending series of applications it seems...

 

[xiaoyi666]

Is financial aid for everyone? As well, what is the most you can get sub and unsub for financial aid? I was actually thinking of buying condo with my first years extra money because school doesn't cost that much and it is a pretty cheap loan per se.

are you serious ab the condo?

 

[vasyaiya]

I've filled out three scholarship applications in the past two weeks. Hopefully I'll get some money out of it, since I spent so much time writing the essays. Also working on my fafsa, but still waiting on some w2s. The life of a doctor is a never-ending series of applications it seems...

Hook me up with those scholarships.

 

[ColKurtz]

As well, what is the most you can get sub and unsub for financial aid?

Most people qualify for 8500 in sub and like 45000? in unsub per year.

 

[axlaxl1]

are you serious ab the condo?

yes, why not? I can get a roomate and half my rent.

But what is the total amount you can get from FAFSA? unsub and sub?

 

[xiaoyi666]

yes, why not? I can get a roomate and half my rent.

hmm, thought it might be sarcasm bc of the title of thread. but i suppose the roommate bit works well.

 

[axlaxl1]

Most people qualify for 8500 in sub and like 45000? per year in unsub per year.

Isn't that so much more than what other people in grad get. I told my friend of the amount and he was like "damn" that is a lot. He said it was probably because they need doctors so bad.

Geez 200K is so much debt.

 

[nhtreehugger]

hmm, thought it might be sarcasm bc of the title of thread. but i suppose the roommate bit works well.

Oh, was the title sarcastic? Because I posted a response to it...

As to all the logistics involved in financial aid, there's probably specifics in the FA packets that the schools went over during the interview day. I guess I should start reviewing those

 

[xiaoyi666]

Oh, was the title sarcastic? Because I posted a response to it...

I thought it was that's why I asked but apparently it wasn't. The title was how do you pay for this which i thought meant there would be huge debt/financial troubles. then the OP mentioned buying a condo in Miami, so i was a bit confused.

 

[axlaxl1]

I thought it was that's why I asked but apparently it wasn't. The title was how do you pay for this which i thought meant there would be huge debt/financial troubles. then the OP mentioned buying a condo in Miami, so i was a bit confused.

No, I am not being sarcastic at all. I really mean it. I know that financial aid gives a pretty penny but hopefully I get scholarships to help the situation. As well, I would like to perhaps buy a condo after year one or two because what else am I going to do with all that extra money. I mean rent won't be that much.

Moreover, I really did want to know why medical school gets so much more money than other graduate programs.

 

[ColKurtz]

Moreover, I really did want to know why medical school gets so much more money than other graduate programs.

I don't think they do from the feds, its just that med students actually need to use the money because of how expensive med school is.

 

[TheRealMD]

No, I am not being sarcastic at all. I really mean it. I know that financial aid gives a pretty penny but hopefully I get scholarships to help the situation. As well, I would like to perhaps buy a condo after year one or two because what else am I going to do with all that extra money. I mean rent won't be that much.

Moreover, I really did want to know why medical school gets so much more money than other graduate programs.

They do not "give" you money. It's loans with interest usually 6% a year or so (if not more). By the time you actually pay back your loans, it'll be double what you took out. You really think you want to tack onto that by buying a condo (a depreciating asset in this market) for a loan that will appreciate a LOT during the time it's outstanding? That's like taking $1 now instead of waiting 10 seconds for $1000.

 

[axlaxl1]

They do not "give" you money. It's loans with interest usually 6% a year or so (if not more). By the time you actually pay back your loans, it'll be double what you took out. You really think you want to tack onto that by buying a condo (a depreciating asset in this market) for a loan that will appreciate a LOT during the time it's outstanding? That's like taking $1 now instead of waiting 10 seconds for $1000.

Actually buying a home is never a depreciating investment. unless you buy and sell within a two or three year range. Anything over 5 years is super hard to lose value on. But I agree not taking out too much is probably not a good idea.

 

[xiaoyi666]

They do not "give" you money. It's loans with interest usually 6% a year or so (if not more). By the time you actually pay back your loans, it'll be double what you took out. You really think you want to tack onto that by buying a condo (a depreciating asset in this market) for a loan that will appreciate a LOT during the time it's outstanding? That's like taking $1 now instead of waiting 10 seconds for $1000.

Loan with 6% interest turned into relatively depreciated asset is better than 10% inflation where your cash is losing value. then again, the real estate market is down, who knows when it'll turn back around and the nation is projected to go into recession soon (part of business cycle, no recession has lasted more than i think 6 months since the 1950s bc of the great moderator).

 

[axlaxl1]

Loan with 6% interest turned into relatively depreciated asset is better than 10% inflation where your cash is losing value. then again, the real estate market is down, who knows when it'll turn back around and the nation is projected to go into recession soon (part of business cycle, no recession has lasted more than i think 6 months since the 1950s bc of the great moderator).

exactly it is a buyers market

 

[xrevision]

It depends on where you plan on living. The more expensive houses are facing huge depreciation.

 

[BigRedder]

I'm not sure OP wants one of the more expensive ones. If you can buy it's a good idea, but I wouldn't borrow money to make a down payment. Renting is throwing your money away. The condo probably won't drop in value anymore, depending on various factors, so when you sell it you get it all back after med school. All you will lose will be real estate fees, homeowners insurance (high in Florida), property taxes, and interest on your mortgage. Investigate how much that will cost per month, then compare it to renting. You might find that they are very close, in which case buying might be a good idea. Remember, when you rent you are paying someone else's mortgage, taxes, etc., plus a little profit.

 

[Jolie South]

just thought i'd chime in with a little important detail. . .

you can only borrow up to what your school has budgeted as the cost of attendance.

i'll give you an example. so say your instate school costs 15k in tuition and that they say you will need about 20 k for living expenses. this means you will ONLY be able to borrow up to 35k in federal stafford loans. i really don't see how you'll be able to buy the condo and live for a year on 20k, unless you have a huge nest egg already.

i was reading on a home-buyers guide that you shouldn't buy unless you plan on staying in an area more than 5 years. Also, don't forget that you will be responsible for all repairs and upkeep. as a med student, i think it will be difficult to put that much time and effort into your place. plus, closing costs, etc will gobble up a portion of your profit when you sell. it seems that you will also be getting a mortgage so don't forget to factor in interest for that. i just don't see how it makes sense to buy.

however, if you're buying to be able to claim residency at an OOS school, that might be worth looking into.

 

[45408]

just thought i'd chime in with a little important detail. . .

you can only borrow up to what your school has budgeted as the cost of attendance.

Yeah, I don't think was being taken into consideration.

 

[axlaxl1]

just thought i'd chime in with a little important detail. . .

you can only borrow up to what your school has budgeted as the cost of attendance.

i'll give you an example. so say your instate school costs 15k in tuition and that they say you will need about 20 k for living expenses. this means you will ONLY be able to borrow up to 35k in federal stafford loans. i really don't see how you'll be able to buy the condo and live for a year on 20k, unless you have a huge nest egg already.

i was reading on a home-buyers guide that you shouldn't buy unless you plan on staying in an area more than 5 years. Also, don't forget that you will be responsible for all repairs and upkeep. as a med student, i think it will be difficult to put that much time and effort into your place. plus, closing costs, etc will gobble up a portion of your profit when you sell. it seems that you will also be getting a mortgage so don't forget to factor in interest for that. i just don't see how it makes sense to buy.

however, if you're buying to be able to claim residency at an OOS school, that might be worth looking into.

I think the cost of my tution, based on what you are saying is way over this. Shouldn't be a problem.

 

[xiaoyi666]

by which campus are you planning to get a condo?

 

[axlaxl1]

by which campus are you planning to get a condo?

Boca. LOL, the condo would probably be in Delray, you can get a super nice place on the east of 95 for about 200K or even less. Again, with a roommate it shouldn't be bad.

 

[Ignaz]

Debt. Google HPSP. Be advised, HPSP is not a scholarship. You have more choice by going into financial debt that time-debt. Unless you want to be an officer in Irak 8 years from now, think very carefully about choosing this program.

 

[RockfordWF]

Isn't that so much more than what other people in grad get. I told my friend of the amount and he was like "damn" that is a lot. He said it was probably because they need doctors so bad.

Geez 200K is so much debt.

Not if that's your annual salary, and you have 30 years to pay it off....

 

[Bleurberry]

Actually buying a home is never a depreciating investment. unless you buy and sell within a two or three year range. Anything over 5 years is super hard to lose value on. But I agree not taking out too much is probably not a good idea.

You may want to re-think this statement in lieu of recent national economic events.

 

[dragonfly99]

Agree with Jolie and prowler,
If you have family and/or spouse with you to help take care of the house or condo, and won't pay much more than you would to rent, it might be worth it to buy, but I'd only do it if you have or can borrow the down payment.
It's big responsibility and you aren't guaranteed to make money. Remember when you sell it again in a few years, the real estate agent gets a 6% commission.

I'm not sure I'd be so eager to borrow money to borrow more money (i.e use my student loan money to buy a house). It's kind of a gamble.

Also you have no idea how stressed you'll be at times during med school. NO IDEA. Particularly during 3rd year.

 

[financeguru09]

My friend had a 3.5 GPA and only scored a 22 on the MCAT and was picked up for a scholarship through the air force. They pay all of his tuition, books, fees, and pay him a monthly salary just to go through the med school he chose. Not bad!

 

[FLDoc]

My friend had a 3.5 GPA and only scored a 22 on the MCAT and was picked up for a scholarship through the air force. They pay all of his tuition, books, fees, and pay him a monthly salary just to go through the med school he chose. Not bad!

hopefully your friend didnt just do it for the money because it is a pretty poor long term investment.

 

[devlyyn]

hopefully your friend didnt just do it for the money because it is a pretty poor long term investment.

agreed. If you're going into anything except for FP or Peds you'll make a good 100-150k+ less per year than your peers during your repayment period. Plus you won't have much choice of where you'll be living.