Common App: Condering a College's Financial Health

As the calendar flips to 2026 and the Fall 2026 college application deadline is here, families are busy comparing majors, campuses, and costs. At the same time, during a recent weekly family Zoom call—while discussing possible colleges for my nephew—our conversation took an unexpected turn: whether a few of the schools his parents are excited about would remain financially stable throughout his higher education journey.

• Not whether the school had strong academics.
• Not whether students liked the campus.
• But whether the institution itself could realistically deliver the education it promises?

That question, not a consideration only a few years ago, is now a responsible one. And yet it rarely appears in college tours, admissions conversations, or glossy brochures, even as colleges across the country merge, cut programs, or close altogether.

In the often one-sided parent journey to find a good fit for our high schoolers, we evaluate "fit" through academics, campus culture, and cost. We encourage visits, comparisons, and careful financial planning. What is rarely suggested is institutional due diligence: asking whether a school's financial footing and strategic priorities align with the commitments it makes to students who will spend four formative years there.

That silence isn't accidental. Colleges operate in a fiercely competitive environment characterized by demographic decline, rising costs, and mounting pressure to maintain enrollment and donor confidence. In that context, no admissions office is eager to spotlight financial strain, enrollment losses, or the possibility that a program might be scaled back before a student graduates. Expecting institutions to volunteer that kind of uncertainty misunderstands how they function under pressure.

Which means the burden of due diligence falls on families—we just don't acknowledge it.

The system already produces signals about the future. We just haven't made them a standard part of the checklist.

I was reminded of this due diligence gap by Natalie Brenner, my niece and a student journalist for The Brown & White at Lehigh University, who recently reported on her university's new branding and fundraising campaign. Her article described how senior leadership, trustees, and outside consultants defined a set of "pillars" meant to articulate the institution's priorities and future direction—and how student tour guides were trained to reinforce those pillars for prospective families. Nothing about this process was hidden. But it underscored a quiet truth: colleges speak most candidly about strategy when addressing donors and internal audiences, while families are rarely encouraged to treat those same signals as relevant to whether programs, departments, or student experiences will be sustained over time.

This isn't about predicting which colleges will fail. It's about recognizing patterns that are now well documented across higher education: sustained enrollment declines, recurring operating deficits, heavy tuition discounting, and ambitious capital campaigns built on growth assumptions that may or may not materialize. Another pressure point is international enrollment: shifts in visa policy and broader uncertainty can reduce the number of foreign students—often full-tuition payers—creating sudden revenue gaps at institutions that rely on them. None of these indicators alone spells collapse. Together, they shape whether an institution can consistently deliver on what it promises students over a four-year horizon. (Inside Higher Ed)

Independent educational counselors already factor these realities into their advising, often quietly steering families away from institutions that show multiple warning signs. Researchers and analysts study the same signals to understand why colleges merge or close. The information exists. What's missing is a cultural norm that treats institutional stability as a legitimate part of college choice, rather than an uncomfortable question best left unasked.

Families scrutinize housing options, compare meal plans, and calculate return on investment down to the dollar. At the same time, they should also normalize examining enrollment trends, audited financial statements, and whether a school's strategic plan relies on growth in a shrinking market. This includes inquiring about a school's dependence on international enrollment and full-tuition revenue. (Inside Higher Ed)

College remains one of the most consequential investments families make—financially, emotionally, and developmentally. Yet families inadvertently suspend the very habits of inquiry and caution they apply to far lower-stakes decisions. When financial stress eventually becomes visible to parents, it frequently arrives midstream: a department is cut, a major is consolidated, faculty leave, or a campus announces a merger or closure while students are already enrolled. The disruption is borne by students who had little opportunity—or encouragement—to assess that risk upfront.

Our goal is to ensure that families integrate this institutional research into their decision-making process, so that when a student commits to a college, the institution is well-positioned to support that commitment.