Why a good school in York will add value to a property

Research shows that a good secondary school can add an average of £21,000 to the price of a property – here at Redmove we look at the reasons why that should be.

It’s a well-known fact that living near to a good school can boost the value of the property and new research illustrates how much this is true.

A survey has been undertaken by Lloyds who say that homes near good schools will sell for, on average, £268,000 which compares to the average national price of £247,000.

This is also true for properties in York though prices in this popular location are not as affected as those in Beaconsfield, Buckinghamshire, where some prices command a premium of £483,000 over the county’s average price.

Average house prices near good schools

York school 1The average premium for living close to a good state school across England is £21,000 and despite this extra amount, competition for buying these homes is usually fierce.

According to the research from Lloyds, the average premium in York for a home to be in the catchment of one of the city’s best schools is around 8%.

For those thinking of moving to the area, the best secondary schools in York are considered to be:

  • Fulford School
  • Huntington School
  • Archbishop Holgate’s School
  • All Saints RC
  • Millthorpe

However, we should point out that nearly all of the schools in the area are considered to be good when compared to most other areas when details of York schools results and league standings are examined.

York also has some very good independent schools in St Peter’s, The Mount and Bootham School.

Why homes near good schools cost more

Leaving aside the argument that parents are keen for their children to attend a good state school, there are other reasons as to why homes are pricier near good schools.

All estate agents will have the latest information from Ofsted reports and data catchment areas for popular schools because they are meeting demand from prospective buyers.

However, one of the lesser known reasons for buying such a property is that they are generally recession proof.

That’s because the better schools tend to attract homeowners who want to live in that area and they will strive to become a part of local life and activities.

However, people buying property for these reasons should also be aware that should the circumstances of the school change, for instance if its standards should fall, then that will have a direct effect on nearby house prices.

House prices affected by Ofsted reports

banner_ouseThis point has been underlined in a report from the Royal Institution of Chartered Surveyors (RICS) which points out that the average premium in the UK for a home in the catchment area of a ‘good school’ is 8%.

However, the same report also highlights the fact that should the school get a poor Ofsted report then the same amount will be removed from the home’s value.

Jeremy Leaf, a spokesman for RICS, said: “It’s normal now for potential buyers to check the Ofsted report [of a school] before even reading the particulars of a preferred property.”

In another survey, conducted by price comparison site Confused.com, around a third of parents confessed to moving house to be in a better catchment area for a good school.

Moving home for a better secondary school

The survey also revealed that 10% of respondents said they would be willing to pay more than £50,000 extra for a property in a desirable school catchment area.

There’s no doubt then that the demand for a good state school is underpinning strong house prices in those areas and here at Redmove we have also seen this affect in parts of York.

The Confused.com survey also revealed that 80% of parents had begun planning where they were going to buy a property before their child was even born!

Another 12% admitted that they have put their unborn child’s name down for a school’s waiting list.

Gareth Lane, who is head of home insurance at the comparison site, said: “While household finances are stretched, it’s significant that our research shows a number of parents willing to pay more for a new home to ensure that their child is in a good school’s catchment area.”

Essentially, house prices in the catchment areas of good schools in York will be higher because the family buying that property are investing in their child’s future – and for many that’s something that cannot be valued.

If you have any questions about the school catchment areas in York and what to expect for house prices, give Redmove a call for impartial advice on 01904 488444 or drop us a line on our website contact page.

More information

The Rightmove website has an excellent tool for finding the nearest school for a postcode to reveal its performance and Ofsted reports.

No Comments Yet!

Have Your Say

Need a valuation for your property?

Book a FREE appraisal with one of our property experts.