Good schools inflate house prices

House prices can be almost 5 per cent higher if they are located near a good school, research has indicated.

Parents are paying a premium of thousands of pounds to live in a property which is near a good primary school, according to Nationwide.

Property prices are between 2.6 per cent and 4.6 per cent higher if they are close to a good school, meaning parents pay up to £8,000 more to secure an average home in the right catchment area in some regions of the country.

The group looked at the impact on house prices of the local primary school having 10% more 11-year-olds who achieved a level four or above in their key stage 2 Standard Assessment Tests than surrounding schools.

It found that an increase of this level boosted house prices in the vicinity by an average of 3.3 per cent, or £5,860, across England.

House prices in all regions of England were higher if they were in the catchment area for a good school, with properties in Yorkshire and Humberside seeing the biggest increase in percentage terms of 4.6 per cent, while those in the South West saw the smallest rise at 2.6 per cent.

Unsurprisingly, homes in London saw the highest gain in monetary terms at around £8,031.

Copyright © Press Association 2009
All articles are copyright The Press Association 2009. News articles provided by The Press Association for Family Investments. Whilst every care it taken to ensure accuracy of editorial content, Family Investments takes no responsibility for any errors or omissions. The views expressed in these articles are not necessarily those of Family Investments.

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