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Cost a big factor in university selection

A study by researchers at the University of California at Los Angeles found that price is becoming more of an issue in university selection. This shouldn't be too surprising, as federal loan funding is drying up as tuition is increasing, alongside the fact that it should be to begin with.

Deciding where to go depending on cost

There are a lot of things to consider when choosing a university. Obviously, academics should be the number one thing an individual looks at when choosing a school, but it also has a lot to do with the Campus life. That consists of all sporting events. People also consider distance from home and how much time they will have to spend to make trips home.

It might be a poor choice to pick a college that is not co-ed.

A UCLA study was recently done showing that price is beginning to become an essential factor in choosing a school, according to USA Today. Obviously, it is essential to pay less for a degree, particularly if they can get it someplace cheaper.

Many have to consider it

UCLA researchers polled almost 193,000 freshmen from 283 colleges, finding that 66.6 percent responded that economic conditions were a factor in their decision, up from 62.1% when the same survey was conducted two years ago.

  • 43.3% said price of attendance at the institution they chose was an issue; 
  • 13.4% said their first choice was unaffordable; and
  • A lack of financial aid from their first choice of college was a factor for 9.5 percent.

Essential thing to consider

The Wall Street Journal
reports that the cost of tuition has increased by 13 percent since the 2007-2008 school years, and that is just at non-profit colleges. Public universities saw a 27 percent boost in the cost of tuition, according to the College Board. This is why price should be factor students consider when picking a school.

It is also significant to look at the net cost being paid, since more colleges are offering grants and scholarships. What students actually paid out of pocket for private non-profit universities actually went down 4%, while the cost of attending a public university went up 18 percent, which is not almost as bad as you might think. People end up getting more loans as seniors though since most colleges offer more grants and scholarships in the beginning.

No jobs for grads

The thing about college is that armed with a degree, one is that much more likely to stay in the workforce their whole life. Unemployment is lower among college grads. Last year's figure, according to the Huffington Post, was 4.4 percent, about two-thirds of the overall unemployment rate. Estimates for combined recent graduate joblessness and underemployment ranged as high as 53 percent, according to a 2012 article in the Atlantic.

A 2011 Project on Student Debt study showed an average debt of around $26,000 and about two thirds of graduates having student loans, according to CNN.

With the bad joblessness rates and students having more debt, it makes sense that they would be more concerned with the price of school.

Source:  www.personalmoneynetwork.com/moneyblog/2013/01/25/college-selection/