Parental home buyers paying 102% more in property prices to live by the best schools
The latest A-Level results show that the percentage of pupils achieving top grades has fallen to its lowest level in a decade and with preparation for these grades starting from the very first day of school, estate agent comparison site, GetAgent.co.uk, has looked at the property price cost of buying within close proximity to a school with the best test scores.
Using data on house price values surrounding every primary and secondary school in England, GetAgent looked at the cost of buying close to a school, how this differs between primary and secondary schools and the premium of buying close to a top-performing school at both levels of education.
The data shows that the average property price in outcodes for every secondary school in England is currently £317,519, 7.4% higher than the average price of £295,367 for outcodes of all primary level schools. This means home buyers are paying 28.6% more than the average house price in England to live near a secondary school and 19.7% more to live near a primary school.
However, when it comes to the best performing, the property price roles are reversed.
When looking at top tier primary schools where 40% or more of pupils are achieving high scores in reading and maths, while working at greater depth in writing, the average house price climbs to £499,249 – that’s a 69.6% house price premium compared to schools with a score below 40% and 102.3% more expensive than the national average.
It would seem that school performance has a direct impact on property prices at all levels, with primary schools scoring 0-19% home to a property value of £285,127, climbing 29.8% for schools scoring 20-39% (£370,155) and a further 34.9% to the top tier of 40%+ (£499,249).
When looking at secondary schools where 80% or more of pupils are achieving strong 9-5 passes in both English and mathematics GCSEs, the average house price again increases to £356,274, a 13.1% property price premium when compared to schools with a score below 80% and 44.4% higher than the national average.
Again this performance link is consistent across all levels with the lowest-performing (0-39%) home to an average house price of just £291,332, jumping 20.6% for schools scoring 40-79% (£351,326). However, the difference between this band and the top-performing is much smaller than with primary schools, increasing just 1.4% for schools scoring over 80%.
When comparing the best primary and secondary schools, the difference in price is a notable 40.1%, with property surrounding top primary schools going for much more than those surrounding top secondary schools.
However, when looking at schools in the lower performance tiers, the cost of living by a secondary school is marginally higher than a primary school – 7.1% higher.
Founder and CEO of GetAgent.co.uk, Colby Short, commented:
“We know that the close proximity of any sought after amenity can lift a property’s value, but living close by to a school is up there with the most important for parents and whether it’s that all-important catchment area or the ease of carting the kids back and forth every day, parents will always pay when house hunting.
While secondary schools command a higher price on the whole, it’s clear that when it comes to the best schools, it’s primary level education that sees home buyers pay the most.
This is not only to ensure they get the best start during their school life, but due to the younger age, kids aren’t yet able to cycle, walk or get public transport to school alone, and so this additional peace of mind and convenience is preferable for parental home buyers.
This demand coupled with the long-term investment in a property and the potential of better exam results at the end of it is what causes these much larger property price premiums around the best schools in particular.”
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Primary KS2
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Exam Performance
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Average House Price
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Difference (%)
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40%+ (Top Tier)
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£499,249
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69.6%
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Below 40%
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£294,306
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40%+
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£499,249
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34.9%
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|
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20-39%
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£370,155
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29.8%
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|
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0-19%
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£285,127
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N/A
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|
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All schools
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£295,367
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19.7%
|
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Average H.P in England
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£246,728
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40%+ (Top Tier)
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£499,249
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102.3%
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|
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Average H.P in England
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£246,728
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||
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Secondary KS4
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Exam Performance
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Average House Price
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Difference (%)
|
|
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80-100% (Top Tier)
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£356,274
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13.1%
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|
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Below 80%
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£315,107
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80-100%
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£356,274
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1.4%
|
|
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40-79%
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£351,326
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20.6%
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|
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0-39%
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£291,332
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N/A
|
|
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All schools
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£317,223
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28.6%
|
|
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Average H.P in England
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£246,728
|
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80-100% (Top Tier)
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£356,274
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44.4%
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Average H.P in England
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£246,728
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Tier
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Primary KS2
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Secondary KS4
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Difference (%)
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|
Top Tier
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£499,249
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£356,274
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40.1%
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Below
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£294,306
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£315,107
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7.1%
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- Average house price based on the outcode (first half of postcode) for each school.
- School sample is all schools in England although some were excluded due to a lack of data for either exam results or house prices.
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Sources
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School performance data
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Av House Price by Outcode
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GetAgent Database
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