There is a small business exception in FSFSA reporting, that small business owner doesn not have to report in FSFSA.
But rental business is not a small business under FSFSA.
你听说LLC不用报是误传。是small business owner不用报自己的buisness。但是出租房是passive income，和 schedule C active business不是一回事。
http://www.finaid.org/fafsa/smallbusiness.phtml
At times a student or parent will claim rental property is a business. Generally, it must be reported as real estate instead. A rental property would have to be part of a formally recognized business to be reported as such, and it usually would provide additional services like regular cleaning, linen, or maid service.
